As an investor in today's complex world, you're bombarded by industry terminology everywhere you turn. In the FESCO Investing Terms Glossary we've defined many of these terms for you in an easy-to-understand manner.
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| View a list of all terms here. |
| Investing Glossary: "H" Terms |
Hedge |
A technique used by an investor to gain protection against loss by counterbalancing the purchase of one security or commodity by buying another which is likely to move in the opposite direction. |
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Hedge Fund |
A hedge fund is an investment fund available to a limited range of investors usually determined by investable assets or net worth. Hedge funds are generally permitted by regulators to undertake a wider range of investment including shares, debt, options, derivatives & commodities and frequently pursue more active trading activities than other investment funds. Hedge funds generally pay substantial fees to their managers often based on performance. |
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HH Bonds |
U.S. government savings bonds which can be exchanged for series EE bonds. Whereas EE bonds pay no interest until they are redeemed, series HH bonds pay 7.5% per year, payable semiannually. The exchange or swap of the bonds is not subject to current taxation. |
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High-Grade Bond |
A bond with a rating of AAA or AA. |
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