Financial Terms – H

Financial Terms H

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H-1B Visa – a temporary work visa that the US government issues. This type of temporary work permit is only for foreigners with at least a bachelor’s degree. The applicant must have a sponsor, i.e., an employer.

Habitat – all the environmental factors that exist in a particular place. An organism’s (life form’s) habitat is where it feeds, sleeps, reproduces, and finds shelter. For example, a house is a human habitat, where we eat, sleep, and have shelter.

Habit Buying – the buying of a specific brand repeatedly. It is also known as a habitual purchasing pattern. It’s comparable to brand loyalty. In contrast, when a consumer buys out of habit, they don’t feel dissatisfied afterward. Customers that are brand loyal have compared their preferred product to others and understand why they are faithful. Habitual consumers rarely give other brands a second thought.

HACCP – stands for Hazard Analysis and Critical Control Point. It is a food management safety system which monitors food processing from beginning to end. Approximately 150 countries have adopted the HACCP system.

Hacker – 1. Someone who cracks passwords to get access to computers. They act in this manner without permission. 2. Someone who makes harsh cuts (who hacks things). For instance, a person who uses a machete to cut through the jungle underbrush 3. A computer nut, sometimes known as a geek.

Hague Protocol – The 1929 Warsaw Convention had a modification in 1955. In the event of an accident, the pact established airline culpability. The pact concentrated especially on commercial airlines that transported passengers, goods, and luggage for a profit.

Hague Rules – an international code that defines who is responsible for the damage or loss of cargo. The rules relate only to international shipping.

Haircut – in finance a haircut is the percentage of an asset that is used as collateral – deducted from its market value. It has the same meaning as ‘margin’ in the context of exchange traded products.

Half Life – the amount of time needed for a substance’s concentration to drop by 50%. We frequently figure out how long a radioactive substance, medication, insecticide, etc. will last. The period of time it takes for an advertisement to lose half of its effectiveness on consumers is known as the half-life. The amount of time it takes for the principal (original loan amount) of a mortgage to be repaid in half is known as the half-life.

Happy Hour – a period during which drink prices are lower in bars in restaurants. Often establishments offer two drinks for the price of one. Happy Hour usually coincides with people’s commute home, i.e., early evening.

Harassment – unwanted behaviour or conduct on the part of an individual or a group of individuals. In the workplace, sexual harassment is a widespread issue. Typically, harassment puts down, humiliates, mocks, disparages, or demeans the victim.

Hard Brexit – a complete break with the European Union for the UK The treatment of immigration from EU member states would be completely under British jurisdiction once again. In the event of a hard Brexit, Britain would probably lose unrestricted access to the EU market in addition to passporting privileges.

Hardcore Unemployment – Long-term unemployed people’s unemployment In other words, those who have been unable to or unwilling to work for a prolonged period of time. Some nations do not count this kind of unemployment in their official unemployment statistics.

Hard Currency – a currency that people trust is one they expect to hold its value, commonly referred to as a safe-haven currency or a strong currency. It is easily exchangeable for other currencies almost anywhere. The majority of foreign transactions use this kind of currency, which central banks around the world keep in reserve. A few examples of hard currencies are the US dollar, euro, pound sterling, japanese yen, and the franc suisse.

Hard Landing – the term has two meanings: 1. A clumsy or rough landing of an airplane. 2. An abrupt and severe economic slowdown following a period of GDP growth.

Hard Sell – a technique that salespeople and advertisers use to persuade consumers to buy immediately. We also call it high-pressure selling or hard selling. The salesperson applies psychological pressure to persuade the prospect to buy.

Hardware – the phrase can mean numerous things: 1. A computer system’s physical parts, such as the motherboard, mouse, monitor, etc. 2. The fittings and fasteners utilised in the construction sector. 3. Durable tools, machinery, and other equipment. 4. Gardening and DIY tools and supplies. 4. Equipment specific to a certain industry. For instance, military equipment includes things like tanks, rockets, and weaponry.

Harvard Business Review – a general management publication published by Harvard Business Publishing. Since 1922, the magazine has been published. The magazine covers current macroeconomic issues in addition to a number of topics of relevance to senior management.

Harvard Business School – one of the best business schools in the world. The graduate business school of Harvard University in Boston, MA., USA. The school offers several doctoral programs as well as a large full-time MBA program.

Harvest Strategy – a strategy for reducing or eliminating the cost of marketing and advertising a product. This typically happens as a product, brand, or business line approaches the end of its financial year. It is also known as the harvesting plan.

Hawala – a traditional and widely used method of sending money. Hewala, also known as hawala, fully depends on trust and leaves no paper trail. Although there is no actual money transfer, the recipient is compensated. Hawala is primarily used today in India, the Horn of Africa, North Africa, and the Middle East. Because the lack of records is disapproved of by their government, it is prohibited in many nations and some US states.

Hawk – It is someone who prioritises containing inflation above everything else in a central bank. The opposite of a dove is a hawk. Hawks advocate a combative stance in foreign policy while doves advocate the reverse. A hawk is a type of raptor.

Hawthorne Effect – an observation that worker well-being shows concern is a larger productivity driver than working circumstances. In the 1930s, experiments at a light factory in Hawthorne, Illinois, led researchers to discover this phenomenon.

Hazard – a risky, unfavourable, or uncomfortable situation. The word is synonymous with “risk.” However, hazard is the event or threat, but risk is all about chance. There are many distinct kinds of hazards, including anthropogenic, technological, and natural dangers.

Headhunter – an agency or individual that seeks out high-flying executives to fill job vacancies in companies. Headhunters focus on top executives or highly-skilled professionals. We also call them executive search firms.

Health – the state of total physical, mental, and social well-being. Health is more than the absence of disease and infirmity. If I am healthy, it means I do not have a disease or illness. However, it can also mean that I am thriving.

Health Care – involves all actions taken by healthcare professionals and providers to rehabilitate our physical, mental, and emotional health. Three levels of healthcare exist: 1. Basic medical treatment 2. Supplementary care. tertiary care Healthcare is another way to write the phrase.

Health Insurance – a type of insurance that covers a patient’s medical costs. Health insurance programmes can be found in both the public and commercial sectors. Compared to Canada or the UK, the USA has a higher percentage of private health insurance.

Heavy Industry – the part of industry that is very capital intensive but not labor intensive. It uses large machines and has numerous and complex processes in the production of its goods.

Heavy Market – a market with too many sell orders and too few buy orders. There is investor uncertainty. Prices are either stagnant or declining.

Heavy Users – consumers who represent the majority of a product’s sales. However, they make up only about thirty-percent of total consumers. Marketing efforts should focus on heavy users. We also call them big spenders and high rollers.

Hedge Fund – an investment vehicle that can make a diverse range of investment strategies. They can be traced back to the 1940s, although most lay people would not have heard of them until the early 1990s.

Heijunka – ‘Leveling’ in Japanese. Toyota invented this method for establishing the ideal supply and demand balance in the 1960s. It is a component of the Lean Manufacturing methodology. Workloads are distributed as equitably as possible, and inventories are maintained to a minimum.

Help Desk – a service that provides support to either customers or employees in the same company. The term is common in the computer, software, and telecoms sectors. Call centers are similar but only provide support for outsiders (customers).

Herd Instinct – a propensity for us and some animals to act and think in accordance with the majority. In the corporate sector, it is a typical quality. Our herd tendency can occasionally lead to bank runs and stock market swings. Both our actions and our decisions are influenced by it.

Herfindahl-Hirschman Index – A measure of market concentration, often known as the Herfindahl Index, indicates how many or few rivals there are in a certain market. The objective is to identify markets where monopolistic actions could put consumers at risk. A score of 100 indicates there are 100 companies, whereas a number of 10,000 indicates there is just one company—a monopoly. In the US, mergers and acquisitions that affect a concentrated market’s score by more than 100 points may give rise to antitrust issues.

Heterodox Economics – economic theories that go against the grain of conventional wisdom. Economic mainstreamers frequently refer to them as “fringe” theories. The term “orthodox” or “conventional” is used by heterodox economists to describe mainstream economics. Many economists claim that the word “non-orthodox” is problematic since it is difficult to define what is “orthodox.”

Hidden Unemployment – Those who are unemployed but not included in a nation’s official statistics are referred to by this word. Underemployed individuals are also included. For instance, those who work part-time but would want to work full-time are underemployed. Additionally underemployed are skilled workers in low-skilled positions.

Hierarchy – a “pecking order” structure that prevails in businesses, organisations, and human society. There is hierarchy in the animal realm as well. Except for the top and bottom members, every member has a neighbour who is either further up the ladder or lower down it.

Hire – (Verb) To hire someone for pay or to lend something in exchange for cash. An employee or the act of borrowing something in exchange for cash (noun). It is comparable to “rent” as a verb but not the same. The word is occasionally used differently by North Americans and Britons.

Hit – occurs when a web server sends a file to a browser (noun) 1. 2. An incredibly well-known tune. 3. A tumbling or crashing. 4. A powerful blow 1. To use force when striking. 2. to complete a level. 3. to arrive at a realisation or a decision all of a sudden. 4. A dosage of a medication used recreationally.

Hockey Stick Chart – a graph with a hockey stick shape. After a comparatively lengthy period of stability, there follows a sudden upward swing. A steep fall on the chart can occasionally be seen. The phrase initially appeared in a description of a graph demonstrating how Earth was starting to warm up.

Holding Company – a company that owns enough shares in other companies to control them. Many holding companies do not manufacture anything. However, they control and influence many companies and behave like vast commercial empires.

Holiday – The term describes a break from work or education, such as a vacation or a public holiday. In the United States and Canada, “holidays” refers to the time between Thanksgiving and Christmas and New Year’s. Vacations are the same thing in the plural in the UK and other Commonwealth nations.

Home Business – a business that people operate from their home. Also called home-based businesses, home startups have a better chance of succeeding than other startups. However, working from home is not ideal for everybody.

Home Equity Loan – a loan that can be taken out using a house as collateral. Most lay people refer to it as a ‘second mortgage’.

Homo Economicus – an economic phrase that appears in most economists’ models and is also known as “Economic Man.” It portrays people as rational, self-interested entities capable of making decisions in pursuit of subjectively defined purposes, such as the aquisition of wealth and resources. Homo Economicus stays away from pointless labour. Numerous economists, sociologists, and psychologists disagree with these presumptions about human consumers, arguing that we are also driven by compassion, vengeance, and charity.

Horizontal Integration – when a business expands inside the phase of the supply chain where it participates through a merger, an acquisition, or internal investment. They are both in the retail stage of the supply chain, therefore if one supermarket chain buys another, that is an example of horizontal integration. When a company moves from one stage of the supply chain to another, for as from retail to distribution, manufacturing, or commodities, it is known as lateral integration as opposed to vertical integration (raw materials).

Hormones – signaling molecules that control vital functions such as movement and growth. The human body produces them in the glands of the endocrine system. The molecules travel from there through the bloodstream to tissues and organs.

Hospitality Industry – the sector of the economy that provides food, drink, and lodgings to visitors. The food and drink is consumed on the premises. It is part of the services industry.

Hostile Takeover – the acquisition of a company by another commercial enterprise; however, the target company does not want to be acquired. The target company’s board of directors are against the transaction. It is the opposite of a friendly takeover.

Hot-desking – a scheme in which the desks in an office belong to nobody in particular. Users can claim their desk for the day either on a first come first served basis, or through a reservation system.

Hot Money – money that is kept in one currency but could be abruptly and unexpectedly transferred to another. The phrase is also used to describe investments, or cash that might be abruptly transferred to another venture. The goal of speculation is to move capital to locations where it will generate the highest return. Some individuals use the term “speculative money” interchangeably. Hot money also refers to easily traceable stolen cash, earnings from unlawful activity, and cash that has not yet been cleaned up.

Household – a social unit consisting of a group of people who live under one roof. There are many types of households, including the traditional nuclear family, single people living alone, adults sharing the rent, etc. We commonly use the term in economics.

Household Goods – the things we buy and use in our houses. Clothing counts as a household good but not real estate, cars, or boats. Products that are of a permanent nature are household items. Despite the fact that we purchase food to eat at home, it does not fall under this category. In nature, food is not enduring. Good is gone once we’ve consumed it.

HTML – indicates HyperText Markup Language. For displaying web pages on the Internet, it is the primary markup language. Through a Web browser that comprehends HTML, web sites can show text, graphics, and other resources. After interpreting the HTML, the web browser displays the web page to us with the texts, graphics, and other elements neatly organised.

HTTP – the letters stand for HyperText Transfer Protocol. It is the underlying protocol that the Web uses. It defines how we format and transmit messages. HTTP determines what actions Web browsers and servers should take when they receive requests.

Hub – 1. The intersection of the spokes in the centre of a wheel. 2. An important financial hub or other hub of activity. 3. A heavily used airport or other bustling transportation hub. 4. A gadget that links computers, printers, smartphones, and other gadgets to a network. 5. A steel punch from which a coin or medal is made.

Human Capital – investments we make in human beings in order to make people more productive. Examples include education & training, experience, skills, talent, judgment, etc.

Human Resource Development (HRD) – a part of human resource management. HRD specifically deals with the training and development of workers.

Human Resources – the department of an organization that administers, hires, and trains its workforce. The term may also refer to human beings as a valuable asset. The singular form – human resource – refers to a single worker.

Hydrocarbon – any molecule or compound that contains just carbon and hydrogen. There are many different hydrocarbons. They occur naturally in, for example, crude oil, natural gas, and coal.

Hydroponics – the science of growing plants without any soil. The grower uses water that contains all the essential nutrient the plant needs to grow, flower, and fruit.

Hydropower – or hydro energy, is a method of producing electricity by harnessing the force of falling or moving water. Hydropower was once utilised by humans to process grain and to run dock cranes, ore mills, and textile mills. Hydropower was also employed by us for irrigation. We refer to the process of producing electricity from hydropower as hydroelectricity.

Hyperinflation – a monthly inflation rate of at least 50%. When a nation experiences hyperinflation, the value of its currency plummets substantially, as does the purchasing power of its citizens. War or economic recession, while the government continues to print more money, are the main causes.

Hyperlink – a link that takes the online visitor from an image, button, or hypertext to another part of the same web page or another web page. The visitor either clicks on the hyperlink or hovers over it. He or she then automatically jumps to the link’s destination.

Hypothecation – giving a borrower’s hypothetic (collateral) to a lender In accordance with the terms of a secured loan, the lender, typically a bank, has the right to seize the borrower’s asset, such as a home or car, if they are unable to make their instalments. As long as the borrower abides by the loan’s terms, they retain ownership of the asset and benefit from it. In a mortgage, the house being bought serves as the hypothetic; in an auto loan, the vehicle is the collateral. A hypothecated tax is an earmarked tax, meaning the government promises to spend a certain percentage of its budget or a certain amount on something, like health or education.

Hypothesis – a proposed explanation for a phenomenon. In scientific reasoning, a hypothesis is one that is testable. Scientists base their hypotheses on previous observations.

Hysteresis – the delay in when cause and effect occur. Both science and economics can make use of the phrase. For instance, unemployment increases during recessions. However, when the recovery begins, unemployment does not go down right away. The hysteresis effect is what causes the typical lag.