Hard Currency A currency that is freely convertible and that is not expected to decline in value in the immediate future term. … [Read more...]
Harmless Warrant
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Harmless Warrant A warrant allowing users to buy bonds only on surrender of an existing bond that comes with similar terms as the new one. … [Read more...]
Head & Shoulders
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Head & Shoulders Term used in technical analysis. A formation seen in charting when stock price touches a peak and falls, moves above the former peak and declines again and increases again to a lower level than the second peak and again falls. The shoulders are the first and third … [Read more...]
Headline Inflation
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Headline Inflation Indicator of inflation reported through the Consumer Price Index (CPI). This data is released every month by the Bureau of Labor Statistics. The CPI shows the cost incurred in purchasing a fixed basket of goods to demonstrate inflation. … [Read more...]
Hedge
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Hedge Risk reduction in an investment achieved by a transaction. … [Read more...]
Hedge Fund
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Hedge Fund Funds that use a number of different techniques to increase returns. Methods used may include using a valuation model to buy and short stocks. … [Read more...]
Hedge Ratio (Delta)
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Hedge Ratio (Delta) Comparison of portfolio volatility where the portfolio will be hedged and the return of hedging instrument’s volatility. … [Read more...]
Hedged Tender
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Hedged Tender Tender offer strategy wherein investors short sell some of the owned shares to protect against the risk of loss if the tender is rejected. … [Read more...]
Hedging
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Hedging Investment strategy that aims at reducing investment risk. Call and put options, futures contracts and short selling are all used for this purpose. A hedge may be used to protect existing profits or restrict portfolio volatility of a portfolio, by insulating against the … [Read more...]
Hedging Demands
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Hedging Demands A state where demand exists for securities for the purpose of hedging specific consumption risk sources. This demand is over and above that typically arising for mean-variance diversification. … [Read more...]
Held To Maturity Security
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Held To Maturity Security Investments in debt or equity securities that are purchased with the intention of holding them until maturity. This security is reported in the books at amortized cost and comes with a specific maturity date. … [Read more...]
Hell-or-High-Water Contract
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Hell-or-High-Water Contract Any contract under which cash payments are to be made to the project under any circumstance, without fail. For example, when no product sales are carried out. … [Read more...]
Herstatt Risk
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Herstatt Risk Also termed settlement risk. The risk inherent in forex trading that arises when one party delivers the forex currency but the financial institution that is the second party, fails to fulfill its obligations as per the contract. … [Read more...]
High-Coupon Bond Refunding
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High-Coupon Bond Refunding Replacement of a bond having a higher coupon with a low coupon one through refunding. … [Read more...]
High Price
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High Price The price of stock that is the highest point reached during intraday trades over a period of the previous 52 weeks. Stock splits are adjusted. … [Read more...]
High-Yield Bond
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High-Yield Bond Also termed junk bond. Generally refers to bonds having credit rating BB or below. … [Read more...]
Highly Leveraged Transaction (HLT)
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Highly Leveraged Transaction (HLT) The loan given to any highly leveraged firm by a bank. … [Read more...]
Historical Exchange Rate
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Historical Exchange Rate Used in accounting terminology to denote the exchange rate that was prevailing at the time of acquisition of an asset or liability. … [Read more...]
Hit
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Hit Dealers "hit" the bids of other dealers when they have an agreement to sell at bid prices quoted by the other dealers. … [Read more...]
