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FINANCIAL DICTIONARY & GLOSSARY: HA - IM
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hedging - reducing the risk of unfavorable movement in commodity or security prices, or exchange or interest rates, by way of futures contracts.

hidden reserves - arise when there is a considerable difference between the book value and the market value of assets.

High Street banks - common British name for the commercial banks with large numbers of branches all over the country.

higher - adjective meaning greater, larger: e.g. higher prices; (cannot be used as a verb, instead use raise).

hire purchase or installment credit - loans to consumers that are repaid over 2 or 3 years.

historical cost accounting - records the original price paid for goods (minus accumulated depreciation charges), rather than their current or replacement value.

hive off - to sub-contract, or to separate part of a business, to make it a subsidiary.

holding or stake - the amount of a person's (or organization's) financial investment in a business.

holding company - a company that owns more than 50% of the capital of other companies. Usually a holding company has no (or very limited) commercial activities.

honor - to accept or pay a check or bill of exchange when it becomes due.

horizontal integration - mergers or takeovers among companies producing the same type of goods or services.

hostile takeover - one which does not have the backing of a company's board of directors.

hot money - money that is transferred from country to country to take advantage of higher interest and exchange rates.

human capital - another name for labor (specifically, the skills and abilities of trained or educated workers).

hyperinflation - inflation of several hundred or thousand per cent.

illiquid assets - those that cannot be converted into money at short notice.

imperfect competition - situations in which goods are priced too highly because of lack of competition (monopolies, oligopolies, etc.) or lack of information about market conditions.

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