Letter H Dictionary

haggle

To negotiate or bargain.

haircut

In the context of lending, the difference between the value of a loan and the…

Haitian Gourde

The currency of Haiti. Learn more about the Haitian Gourde and Haiti at GoCurrency.com

half-life

The future date on which half of a mortgage’s principal will have been paid off.

hammering the market

The selling of large amounts of a stock by speculators who believe that stock will soon fall.

hang out loan

The balance remaining on a loan when the term ends.

Hang Seng Index

The Hang Seng Index (HSI)is a compilation index of all the leading stocks in…

hard currency

A currency in which investors have confidence, such as that of an economically and politically stable country.

hard dollars

Paying a full-service brokerage for its non-trading services (such as research) with cash. opposite of soft dollars.

hard goods

Products that aren’t consumed or quickly disposed of, and can be used for several…

hard landing

When the economy goes directly from a period of expansion to a recession. This…

Hart-Scott-Rodino Act of 1976

An antitrust regulation requiring any investor seeking to acquire either a 15%…

hawk

Hawkish refers to a negative (high) inflationary outlook and its effects on…

hawkish

The term refers to the predatory, stern nature of the hawk. In finance, hawkish…

hazard insurance

A type of insurance that covers property damage caused by fire, wind, storms,…

head and shoulders

A technical analysis term referring to a chart formation in which a price exhibits…

head of household

A tax filing status that can be used by a married or unmarried person who maintains…

health insurance

Health Insurance is an insurance policy that pays for all or part of an individual…

Health Insurance Portability and Accountability Act

Abbreviated as HIPAA. A law mandating that anyone belonging to a group health…

Health Maintenance Organization

Abbreviated as HMO. A form of health insurance combining a range of coverages…

Heard & Mcdonald Island

The currency of Heard Island and McDonald Islands. Heard Island and…

heavy industry

An industry which is capital- and/or labor-intensive, such as automobile, industrial…

hedge

A hedge is a type of protective investment designed to offset adverse price…

hedge clause

A statement made to free oneself from responsibility. Also known as disclaimer.

hedged tender

The short sale of some portion of the shares in a tender offer to protect against…

hedge fund

A fund, generally used by wealthy individuals and institutions, which is allowed…

hedge ratio

The change in price of a call option for every one-point move in the price of the underlying security. Also known as delta.

hedge wrapper

An options strategy in which a trader with a long position in the underlying…

heir

An individual who will receive assets upon the death of another (the decedent).

held

Something in one’s portfolio or possession.

held at the opening

Having the condition in which a listed equity does not open for trading when…

heterogeneous

When items or entities in a group are different. Opposite of homogeneous.

hiccup

A brief market dip.

hidden asset

Asset not immediately apparent from a balance sheet.

hidden load

A sales charge which an investor pays often without realizing it, such as an…

hidden tax

An indirect tax levied on goods and/or services at some point during the production cycle and paid unknowingly by the consumer.

high

The greatest value that a security or currency hit during a specific period…

high credit

The maximum dollar amount of all loans an individual can have outstanding at…

high-flyer

A stock that is trading at an ungenerally high valuation based on traditional…

high-grade bond

A bond with a rating of AAA or AA, the two highest ratings.

high-low index

Moving average of the number of stocks that reach new highs and lows each day,…

highly compensated employee

For the purposes of retirement plans, an employee who owns 5% or more of a firm…

highly confident letter

A letter from an investment bank indicating that it is very likely that it will…

high-ratio mortgage

Mortgage whose amount is greater than 80% of the value of the mortgaged property.

highs

Refers to stocks that have reached new 52-week high prices in the current or most recent trading session. opposite of lows.

high-tech stock

Stock in a technology sector, such as software, semiconductors, networking, or biotechnology.

high yield

The description of investments with high rates of return.

HIPAA

Abbreviated as Health Insurance Portability and Accountability Act. A law mandating…

historical

Over a specific period of time in the past.

historical cost

An accounting principle requiring all financial statement items to be based on original cost.

historical data

Past information about a firm, used to help forecast the firm’s future; for…

historical trading range

The highest and lowest prices a security or commodity has ever traded at.

historical yield

The yield that has been earned by a mutual fund, generally a money market fund, over a period of time.

hit the bid

Situation in which a dealer agrees to sell at the highest price offered (“”bid”")…

HKD

The ISO currency code for the Hong Kong Dollar. Learn more about the Hong Kong dollar and Hong Kong at GoCurrency.com

HMO

Abbreviated as Health Maintenance Organization. A form of health insurance combining…

HNL

The ISO currency code for the Honduras Lempira. Learn more about the Honduran lempira and Honduras at GoCurrency.com

hold

Applied to a specific security, hold refers to an analyst’ recommendation to…

holdback

A contractual condition in which money is withheld until a specified event occurs.

holder

One who is in possession of something, generally the purchaser and owner.

holder in due course

An individual who acquires a negotiable instrument in good faith.

holder of record

The name of an individual or entity that an issuer carries in its records as…

holding company

A firm that owns enough voting stock in another firm to control management and…

holding period

The length of time an asset was held (the time between the trade date of the…

holding the market

The activity of placing and/or maintaining buy orders to create price support…

HOLDR

A type of security created by Merrill Lynch and traded on the American Stock…

home equity

The current market value of a home minus the outstanding mortgage balance.

Home Equity Conversion Mortgage

Abbreviated as HECM. An arrangement in which a homeowner borrows against the…

home equity debt

Debt secured by a primary residence or second home to the extent of the excess of fair market value over acquisition debt.

home equity line of credit

A method of borrowing in which a homeowner may borrow against home equity as…

home equity loan

A loan secured by a primary residence or second home to the extent of the excess…

home inspection

An inspection of a prospective home done by a professional, soon after an offer…

Home Loans – Australia

Tracks developments in the number and value of outstanding home loans in Australia…

Home Mortgage Disclosure Act

A federal law requiring some financial institutions to disclose certain information…

homeowner’s insurance

A type of insurance that combines liability insurance and hazard insurance. Required by most mortgage lenders.

home run

A stock which has risen dramatically in price in a short period of time.

homogeneous

When items or entities in a group are similar. Opposite of heterogeneous.

Honduras Lempira

The currency of Honduras. Learn more about the Honduran lempira and Honduras at GoCurrency.com

Hong Kong Dollar

The currency of Hong Kong. Learn more about the Hong Kong dollar and Hong Kong at GoCurrency.com

Hope credit

An education tax credit designed to reduce education costs in the first two…

horizon

The length of time a sum of money is expected to be invested. Also known as investment horizon or time horizon.

horizontal acquisition

An acquisition by one firm of another firm in the same industry.

horizontal market

A market which meets a given need of a wide variety of industries, rather than…

horizontal merger

Merger of two or more companies with similar product lines.

horizontal price movement

The price movement that remains within a relatively narrow range over an extended…

horizontal spread

An option strategy involving the purchase and sale of put options and call options…

hostile takeover

A takeover which goes against the wishes of the target firm’s management and board of directors. opposite of friendly takeover.

hot issue

Stock, often an IPO, which is in great demand.

house

A house has a number of meanings in the financial world. In economics, a house…

house account

Brokerage account created by a brokerage for its own use..

house call

A call from a broker to a customer (called a maintenance margin call) or from…

Household Consumption – Euro-zone

Euro-zone Household Consumption reports the mean expenditure on individual consumption…

house maintenance requirement

Level of equity that a brokerage requires on a customer’s margin account. Generally higher than the level required by NASD.

house of issue

The investment bank which acted (or will act) as the underwriter for a given securities issue.

house poor

The condition of having very little cash because nearly all of one’s net worth is tied up in one’s house.

House Price Indexes – Australia

Tracks changes in housing prices in Australia ‘s eight provincial capital cities:…

house rules

A broker/dealer’s set of internal rules describing how customer accounts should…

housing bond

A bond that is issued to finance a municipal construction project such as housing…

Housing Industry Association New Home Sales – Australia

The number of new dwellings sold in the past month. An increase in home sales…

Housing Market

The housing sector often leads the overall health of the economy. Home sales…

Housing Market Index

An index of several hundred home builders that measures demand for new homes….

Housing Reports By Country

Overview – Housing Reports – At times, housing figures may be the most watched…

housing starts

Gauges the change in the number of new houses beginning construction. Housing…

Housing Starts 3M – France – Euro-zone

The rate of growth in housing construction, usually expressed as a year on year…

Housing Starts – Canada

Reflects the rate of growth in housing construction. Housing Starts act as an…

Housing Starts – Japan

The Housing Starts figure reflects the rate of growth in housing construction….

Housing Starts – United States

Gauges the change in the number of new houses built in the United States. Housing…

HRK

The ISO currency code for the Croatian Kuna. Learn more about the Croatian Kuna and Croatia at GoCurrency.com

HTG

The ISO currency code for the Haiti Gourde. Learn more about the Haitian Gourde and Haiti at GoCurrency.com

HUD

Abbreviated as Department of Housing and Urban Development. Federal agency responsible for encouraging housing development.

HUD-1 statement

A document prepared by a closing agent describing a real estate transaction,…

HUF

The ISO currency code for the Hungarian Forint. Learn more about the Hungarian Forint and Hungary at GoCurrency.com

Hulbert Financial Digest

A rating service for advisory newsletters.

human capital

The set of skills which an employee acquires on the job, through training and…

Hungarian Forint

The currency of Hungary. Learn more about the Hungarian Forint and Hungary at GoCurrency.com

hung up

Situation in which one or more of an investor’s securities have fallen well…

hunkering down

The term used by traders to describe the act of aggressively selling off a large position in a stock.

hurdle rate

The required rate of return in a discounted cash flow analysis, above which…

hush money

A payment made to an individual to keep them from disclosing certain information to others. Often illegal.

hybrid annuity

An annuity which combines features of a fixed annuity and a variable annuity.

hybrid REIT

A type of Real Estate Investment Trust that generates income from rent and capital…

hyperinflation

A period of rapid inflation that leaves a country’s currency virtually worthless.

hypothecation

The pledging of securities or other assets as collateral to secure a loan, such as a debit balance in a margin account.

hypothecation agreement

A document signed by an individual wanting to open a margin account, in which…