| Term | Definition |
|---|---|
| H-Shares | Shares of mainland Chinese companies listed in Hong Kong |
| Haas School of Business | A business school at the University of California, Berkeley |
| Habendum Clause | A clause in a deed that defines the type of ownership being transferred |
| Hacktivism | The use of hacking to promote a political or social cause |
| Haggle | To negotiate a price |
| Haircut | A reduction in the value of an asset |
| Half Stock | A stock certificate representing half of a full share |
| Half-Year Convention For Depreciation | A tax rule for depreciating assets |
| Halloween Massacre | A sharp drop in stock prices in October 1987 |
| Halloween Strategy | A stock market timing strategy |
| Halo Effect | The tendency to judge someone or something based on a single positive quality |
| Hamada Equation | A formula used to calculate the cost of equity |
| Hammer Candlestick | A bullish candlestick pattern |
| Hammer Clause | A clause in a reinsurance contract |
| Hammering | Manipulating the price of a stock |
| Hamptons Effect | The tendency for luxury goods to become more expensive in areas with high concentrations of wealthy people |
| Handelsgesetzbuch (HGB) | The German Commercial Code |
| Handle | A price level |
| Hands-Off Investor | A passive investor |
| Hang Seng Index (HSI) | A stock market index in Hong Kong |
| Hanging Man Candlestick | A bearish candlestick pattern |
| Happiness Economics | The study of the relationship between economics and happiness |
| Hara-Kiri Swap | A complex financial transaction |
| Harami Cross | A candlestick pattern |
| Hard Asset | A tangible asset |
| Hard Call Protection | A provision that prevents a bond issuer from calling a bond before a certain date |
| Hard Currency | A currency that is widely accepted |
| Hard Dollars | Cash |
| Hard Fork (Blockchain) | A permanent divergence in a blockchain |
| Hard Inquiry | A credit inquiry that can affect a credit score |
| Hard Landing | A sharp economic slowdown |
| Hard Loan | A loan with strict terms |
| Hard Money | Cash |
| Hard Money Loan | A short-term loan secured by real estate |
| Hard Sell | An aggressive sales tactic |
| Hard Skills | Technical skills |
| Hard Stop | A firm price limit |
| Hard-To-Borrow List | A list of securities that are difficult to borrow |
| Hardening | An increase in insurance premiums |
| Hardship Exemption | An exception to a rule due to hardship |
| Hardship Withdrawal | A withdrawal from a retirement account due to hardship |
| Harmless Warrant | A warrant that does not dilute existing shares |
| Harmonic Mean | A type of average |
| Harmonized Index of Consumer Prices (HICP) | A measure of inflation in the European Union |
| Harmonized Sales Tax (HST) | A combination of sales tax and value-added tax |
| Harry Markowitz | An economist who developed modern portfolio theory |
| Hart-Scott-Rodino Antitrust Improvements Act of 1976 | A U.S. law that requires companies to notify the government before certain mergers |
| Harvard Business School | A business school at Harvard University |
| Harvard MBA Indicator | A supposed indicator of stock market bubbles |
| Harvest Strategy | A plan for exiting an investment |
| Hash | A cryptographic function |
| Hashed Timelock Contract | A type of smart contract |
| Hashgraph Consensus Mechanism | A distributed consensus mechanism |
| Hawala | An informal system of money transfer |
| Hawk | A central banker who favors high interest rates |
| Hawthorne Effect | The tendency for people to behave differently when they know they are being observed |
| Hazard Insurance | Insurance that covers damage from specific perils |
| Hazard Rate | The probability of an event occurring |
| Hazardous Activity | A dangerous activity |
| Head and Shoulders Pattern | A chart pattern |
| Head-Fake Trade | A false signal |
| Head of Household | A tax filing status |
| Head Trader | The person in charge of a trading desk |
| Headhunter | A recruiter |
| Headline Earnings | Earnings excluding certain items |
| Headline Effect | The tendency for news headlines to influence investor sentiment |
| Headline Inflation | Inflation including food and energy prices |
| Headline Risk | The risk of negative publicity |
| Heads of Agreement | A non-binding agreement |
| Health Insurance | Insurance that covers medical expenses |
| Health Insurance Marketplace | A website where people can compare and buy health insurance |
| Health Insurance Portability and Accountability Act (HIPAA) | A U.S. law that protects the privacy of medical information |
| Health Maintenance Organizations (HMOs) | A type of health insurance plan |
| Health Plan Categories | Classifications of health insurance plans |
| Health Reimbursement Arrangement (HRA) | An employer-funded health benefit plan |
| Health Savings Account (HSA) | A tax-advantaged medical savings account |
| Healthcare Power of Attorney (HCPA) | A legal document that allows someone to make medical decisions for another person |
| Healthcare Sector | Companies that provide healthcare services or products |
| Heating Degree Day (HDD) | A measure of how much heating is needed |
| Heath-Jarrow-Morton Model | A model used to price fixed income securities |
| Heatmap | A visual representation of data |
| Heavy Industry | Industries that produce large, heavy goods |
| Heckscher-Ohlin Model | A model of international trade |
| Hedge | To reduce risk |
| Hedge Accounting | A method of accounting for hedges |
| Hedge Clause | A clause that limits liability |
| Hedge Fund | A private investment fund |
| Hedge Fund Manager | A professional who manages a hedge fund |
| Hedge Ratio | The ratio of the value of a hedge to the value of the asset being hedged |
| Hedged Tender | A tender offer that is hedged |
| Hedging Transaction | A transaction that reduces risk |
| Hedonic Pricing | A method of valuing goods based on their characteristics |
| Hedonic Regression Method | A statistical method used in hedonic pricing |
| Hedonic Treadmill | The tendency to always want more |
| Heikin-Ashi Technique | A candlestick charting technique |
| Heir | A person who inherits property |
| Held by Production Clause | A clause in an oil and gas lease |
| Held-For-Trading Security | A security that is held for short-term profit |
| Held Order | An order to buy or sell a security that is held by a broker |
| Held-to-Maturity (HTM) | A classification of debt securities |
| Helicopter Drop (Helicopter Money) | A large-scale distribution of money |
| Hell or High Water Contract | A contract that must be fulfilled regardless of circumstances |
| Help-Wanted Index (HWI) | A measure of job openings |
| Henry B. Tippie College Of Business | A business school at the University of Iowa |
| Henry Hub | A natural gas pipeline hub |
| Herbert A. Simon | An American economist and political scientist |
| Herd Instinct | The tendency to follow the crowd |
| Herfindahl-Hirschman Index (HHI) | A measure of market concentration |
| Heritage and Stabilization Fund (HSF) | A sovereign wealth fund in Alaska |
| Heroes Earned Retirement Opportunities Act (HERO) | A U.S. law that allows military members to contribute to retirement accounts |
| Herrick Payoff Index | A technical indicator |
| Hersey-Blanchard Model | A leadership model |
| Heston Model | A model used to price options |
| Heterodox Economics | Economic theories outside of mainstream economics |
| Heteroskedastic | Having unequal variances |
| Heteroskedasticity | The condition of having unequal variances |
| Heuristics | Mental shortcuts |
| Hiccup | A temporary disruption |
| Hidden Taxes | Taxes that are not directly visible |
| Hidden Values | Undervalued assets |
| Hierarchical Deterministic Wallet (HD Wallet) | A type of cryptocurrency wallet |
| Hierarchy-of-Effects Theory | A marketing theory |
| Hierarchy of GAAP | The order of precedence of accounting standards |
| High Beta Index | An index of high-beta stocks |
| High Close | The highest closing price of a stock |
| High Earners, Not Rich Yet (HENRYs) | High-income individuals who have not yet accumulated significant wealth |
| High-Deductible Health Plan (HDHP) | A health insurance plan with high deductibles |
| High-Frequency Trading (HFT) | A type of trading that uses computers to execute trades at very high speeds |
| High-Low Index | A technical indicator |
| High-Low Method | A method used to separate fixed and variable costs |
| High Minus Low (HML) | A factor used in the Fama-French Three-Factor Model |
| High-Net-Worth Individuals (HNWI) | Individuals with high net worth |
| High-Ratio Loan | A loan with a high loan-to-value ratio |
| High-Speed Data Feed | A real-time data feed |
| High Street Bank | A retail bank |
| High-Water Mark | The highest point of an investment’s value |
| Term | Definition |
|---|---|
| High-Yield Bond | A bond with a high yield due to its higher risk |
| High-Yield Bond Spread | The difference in yield between a high-yield bond and a risk-free bond |
| High-Yield Investment Program (HYIP) | A type of investment that promises high returns but is often a scam |
| Higher Education Act of 1965 (HEA) | A U.S. law that provides funding for higher education |
| Highest In, First Out (HIFO) | An inventory valuation method |
| Highly Compensated Employee | An employee who meets certain compensation thresholds |
| Highly Leveraged Transaction (HLT) | A transaction involving a significant amount of debt |
| Hikkake Pattern | A candlestick pattern |
| Hindenburg Omen | A technical indicator |
| Hindsight Bias | The tendency to believe that an event was predictable after it has occurred |
| HIPAA Waiver of Authorization | A document that allows the release of medical information |
| Hire Purchase Agreement | A type of installment loan |
| Hiring Freeze | A temporary halt to hiring |
| Histogram | A type of chart that shows the distribution of data |
| Historic Pricing | Pricing based on past data |
| Historic Structure | A building or other structure with historical significance |
| Historical Cost | The original cost of an asset |
| Historical Returns | Past investment returns |
| Historical Volatility (HV) | A measure of past price fluctuations |
| Hit the Bid | To sell at the bid price |
| HM Revenue and Customs (HMRC) | The UK’s tax authority |
| Hoarding | The accumulation of goods or money |
| Hobby Loss | A loss from an activity not engaged in for profit |
| Hockey Stick Chart | A chart that shows rapid growth |
| HODL | A term used in the cryptocurrency community meaning “hold on for dear life” |
| Hodrick-Prescott (HP) Filter | A statistical tool used to smooth time series data |
| Holacracy | A type of organizational structure |
| Hold | A recommendation to neither buy nor sell a security |
| Hold Harmless Claus | A clause that protects one party from liability |
| Holdco | A holding company |
| Holder of Record | The owner of a security as recorded by the issuer |
| Holding Company | A company that owns a controlling interest in other companies |
| Holding Company Depository Receipt (HOLDR) | A security that represents ownership in a portfolio of stocks |
| Holding Costs | Costs associated with storing inventory |
| Holding Period | The length of time an asset is held |
| Holding Period Return (Yield) | The return earned on an investment during the holding period |
| Holding the Market | Maintaining a position in a security |
| Holdings | The assets held in a portfolio |
| Holdover Tenant | A tenant who remains in possession of property after the lease has expired |
| Holdovers | Same as Holdover Tenant |
| Hole-In-One Insurance | Insurance that pays out if a golfer gets a hole-in-one |
| Hollowing Out | The decline of manufacturing jobs |
| Hollywood Stock Exchange (HSX) | A virtual stock market based on the movie industry |
| Holographic Will | A will written entirely in the testator’s handwriting |
| Home | A place of residence |
| Home Affordable Modification Program (HAMP) | A U.S. government program to help homeowners modify their mortgages |
| Home Affordable Refinance Program (HARP) | A U.S. government program to help homeowners refinance their mortgages |
| Home Banking | Banking services offered online |
| Home Bias | The tendency to invest in domestic markets |
| Home Buyers’ Plan (HBP) | A Canadian program that allows people to withdraw money from their RRSPs to buy a home |
| Home Country Bias | Same as Home Bias |
| Home Equity | The value of a home minus the amount owed on the mortgage |
| Home Equity Conversion Mortgage (HECM) | A reverse mortgage |
| Home-Equity Loan | A loan secured by the equity in a home |
| Home Inspection | An examination of a home’s condition |
| Home Market Effect | The tendency for companies to favor their home market |
| Home Modification | Changes made to a home |
| Home Mortgage | A loan secured by a home |
| Home Mortgage Disclosure Act (HMDA) | A U.S. law that requires lenders to report mortgage lending data |
| Home Mortgage Interest Deduction | A tax deduction for mortgage interest paid |
| Home Office | A space in a home used for business |
| Home Office Expense | Expenses related to a home office |
| Home Warranty | A service contract that covers repairs to home systems and appliances |
| Homemade Dividends | A way for investors to create their own dividends |
| Homemade Leverage | The use of personal borrowing to increase investment returns |
| Homeowners Association (HOA) | An organization that governs a community of homeowners |
| Homeowners Association Fee (HOA Fee) | A fee paid to a homeowners association |
| Homeowners Insurance | Insurance that covers damage to a home |
| Homeowners Protection Act | A U.S. law that protects homeowners from predatory lending practices |
| Homestead Exemption | A legal exemption that protects a portion of a homeowner’s equity from creditors |
| Homo Economicus | A rational economic actor |
| Homogeneous Expectations | The assumption that all investors have the same expectations |
| Homoskedastic | Having equal variances |
| Hong Kong Exchanges and Clearing Limited (HKEx) | The stock exchange in Hong Kong |
| Hong Kong Interbank Offered Rate (HIBOR) | A benchmark interest rate in Hong Kong |
| Hong Kong Monetary Authority (HKMA) | The central bank in Hong Kong |
| Hong Kong Monetary Authority Investment Portfolio (HKMA) | A sovereign wealth fund |
| Hong Kong SAR, China | Hong Kong Special Administrative Region of China |
| Hong Kong Stock Exchange (HKG) | Same as Hong Kong Exchanges and Clearing Limited (HKEx) |
| Honorarium | A payment for services rendered |
| Hook Reversal | A chart pattern |
| Hope Credit | A tax credit for education expenses |
| Hope Now Alliance | A group of mortgage industry participants |
| Horizon Analysis | A type of financial analysis |
| Horizontal Acquisition | A merger between companies in the same industry |
| Horizontal Analysis | A type of financial analysis that compares financial data over time |
| Horizontal Channel | A chart pattern |
| Horizontal Equity | The principle that people in the same situation should be treated equally |
| Horizontal Integration | A company’s expansion into related businesses |
| Horizontal Line | A line on a chart |
| Horizontal Market | A market that serves a wide range of industries |
| Horizontal Merger | A merger between companies in the same industry |
| Horizontal Spread | An options trading strategy |
| Horizontal Well | A type of oil or gas well |
| Hospital Insurance Trust Fund | A fund that pays for Medicare Part A benefits |
| Hospital Revenue | Revenue earned by hospitals |
| Hostile Bid | A takeover offer that is opposed by the target company’s management |
| Hostile Takeover | A takeover that is opposed by the target company’s management |
| Hostile Takeover Bid | Same as Hostile Bid |
| Hot Hand | The belief that success breeds further success |
| Hot Issue | A new security that is in high demand |
| Hot IPO | A highly anticipated IPO |
| Hot Money | Money that flows quickly between countries |
| Hot Waitress Economic Index | An alternative economic indicator |
| Hot Wallet | A cryptocurrency wallet that is connected to the internet |
| Hotelling’s Theory | A theory about the location of businesses |
| House Call | A visit to a client’s home or office |
| House Maintenance Requirement | A requirement to maintain a property |
| House Money Effect | The tendency to take more risk with profits |
| House Poor | Having a lot of equity tied up in a home but little cash |
| House Price Index (HPI) | A measure of changes in home prices |
| Household Employee | An employee who works in a household |
| Household Expenses | Expenses related to running a household |
| Household Income | The total income of a household |
| Housing and Economic Recovery Act (HERA) | A U.S. law related to housing |
| Housing Authority Bond | A municipal bond issued by a housing authority |
| Housing Bonds | Bonds issued to finance housing projects |
| Housing Bubble | A speculative bubble in the housing market |
| Housing Expense Ratio | The percentage of income spent on housing |
| Housing Market Index | A measure of housing market conditions |
| Housing Starts | The number of new housing units started |
| Housing Unit | A place of residence |
| Howey Test | A test used to determine if an investment is a security |
| HSA Custodian | An institution that holds HSA funds |
| Hub and Spoke Structure | A type of organizational structure |
| Hubbert Curve | A model of resource depletion |
| Hubbert’s Peak Theory | A theory about peak oil production |
| Hubris | Excessive pride |
| HUD-1 Form | A closing statement used in real estate transactions |
| HUF (Hungarian Forint) | The currency of Hungary |
| Hulbert Rating | A rating of investment newsletters |
| Hull-White Model | A model used to price options |
| Term | Definition |
|---|---|
| Human Capital | The skills and knowledge of workers |
| Human Development Index (HDI) | A measure of a country’s development |
| Human-Life Approach | A method of valuing a life insurance policy |
| Human Resource Planning (HRP) | The process of forecasting future human resource needs |
| Human Resources (HR) | The department responsible for managing employees |
| Humped Yield Curve | A yield curve that rises initially and then falls |
| Hundredweight (Cwt) | A unit of weight |
| Hung Convertibles | Convertible bonds that are unlikely to be converted |
| Hurdle Rate | The minimum rate of return required for a project |
| Hurricane Deductible | A deductible that applies to hurricane damage |
| Hybrid Annuity | An annuity that combines features of fixed and variable annuities |
| Hybrid ARM | A type of adjustable-rate mortgage |
| Hybrid Fund | A mutual fund that invests in both stocks and bonds |
| Hybrid Security | A security that has characteristics of both debt and equity |
| Hydraulic Fracturing | A method of extracting oil and gas |
| Hydrocarbon | A compound made of hydrogen and carbon |
| Hyperdeflation | A rapid decrease in the price level |
| Hyperinflation | A rapid increase in the price level |
| Hyperledger | An open-source collaborative effort hosted by the Linux Foundation |
| Hyperledger Burrow | A permissioned smart contract machine |
| Hyperledger Composer | A framework for building blockchain business networks |
| Hyperledger Explorer | A blockchain explorer |
| Hyperledger Fabric | A permissioned blockchain framework |
| Hyperledger Iroha | A blockchain platform designed for mobile applications |
| Hyperledger Sawtooth | A modular blockchain platform |
| Hypermarket | A very large supermarket |
| HyperText Markup Language (HTML) | A markup language used to create web pages |
| Hypothecation | Pledging an asset as collateral |
| Hypothesis Testing | A statistical method used to test a claim |
| Hysteresis | The phenomenon where the value of a variable depends on its past values |