What Is a Held-For-Trading Security? A held-for-trading security is a debt or equity investment that investors purchase with the intent of selling within a short period of time, usually less than one year. Within that time frame, the investor hopes to see appreciation in the value of the security and sell it for a profit. Because of accounting
What Are Held-to-Maturity (HTM) Securities? Held-to-maturity (HTM) securities are purchased to be owned until maturity. For example, a company’s management might invest in a bond that they plan to hold to maturity. There are different accounting treatments for HTM securities compared to securities that are liquidated in the short term. How Held-to-Maturity (HTM) Securities Work Bonds and other
What Is a Helicopter Drop (Helicopter Money)? A helicopter drop refers to a term first coined by Milton Friedman as a rhetorical device intended to abstract away the effects of any monetary policy transmission mechanisms in a thought experiment regarding the addition of cash to the bank accounts of all citizens—as if dropped from a
What Is the University of Iowa Tippie College of Business? The University of Iowa Tippie College of Business is the business school at the University of Iowa in Iowa City, Iowa. Founded in 1921, it offers both undergraduate and graduate programs. Prior to 2019, the University of Iowa Tippie College of Business was well-known for
Herbert M. Allison, Jr. was in charge of the Troubled Asset Relief Program (TARP) from 2009 to 2010, a federal program that helped stem pain from the 2008 financial crisis and lead to its ultimate recovery. He was named CEO of Fannie Mae in 2008 when the company went into conservatorship. Before Fannie Mae, he
What Is Herd Instinct? The term herd instinct refers to a phenomenon where people join groups and follow the actions of others under the assumption that other individuals have already done their research. Herd instincts are common in all aspects of society, even within the financial sector, where investors follow what they perceive other investors
What Is the Heritage and Stabilization Fund (HSF)? The Heritage and Stabilization Fund is a sovereign wealth fund that was established in March 2007 by the government of the Republic of Trinidad and Tobago. It was previously known as the Interim Revenue Stabilization Fund, which was set up in 2000. The primary objectives of the
What Is the Harvard MBA Indicator? The Harvard MBA Indicator is a contrarian long-term stock market indicator that evaluates the percentage of Harvard Business School MBA graduates that accept “market sensitive” jobs. Market sensitive jobs exist in fields such as investment banking, securities sales and trading, private equity, venture capital, and leveraged buyouts. If more than 30% of
What Is a Harvest Strategy? A harvest strategy is a marketing and business strategy that involves a reduction or a termination of investments in a product, product line, or line of business so that the entities involved can reap—or, harvest—the maximum profits. A harvest strategy is typically employed toward the end of a product’s life
What Is Hashgraph Consensus? Hashgraph consensus is an alternative to—or the next generation of—the technology behind blockchain consensus mechanisms. Instead of using the computational power of large networks to verify transactions, transactions are recorded and confirmed via a protocol that uses node communication. A hashgraph is a decentralized ledger in much the same way a
