SINGAPORE-listed companies with high gearing levels and debt are feeling the strain of a higher-for-longer interest rate environment, but the pain – including margin pressures – could be deeper for small- and mid-cap stocks compared with their larger counterparts, market watchers told The Business Times. 

Thilan Wickramasinghe, head of research for Singapore at Maybank Securities, said that while individual corporate strategies should be assessed on their own merits, a higher debt ratio typically means higher risks for businesses.