What is House Call? A house call is an order by a brokerage firm demanding an account holder to increase the margin account’s equity when it is below the requirement. The call is often preceded by losses in the securities bought on margin, which is the credit extended to traders to purchase additional securities. Investors...
What is Hostile Bid? A hostile bid is a type of takeover bid where the acquiring company presents a tender offer directly to the shareholders to buy their shares at a premium. The acquiring entity does not go through the board of directors because they rejected the offer or they are against the acquisition. The...
What is a Hot IPO? A Hot IPO (Initial Public Offering) is a highly anticipated first-time issuance of a company’s shares to the general public in an open market. One or more investment banks can act as underwriters for the offering. The objective of issuing shares through an IPO is to raise money for the...
What is Hot Hand? Hot hand is a cognitive social bias where an individual believes that a successful past performance can be used to predict success in future attempts. People who believe in the hot hand phenomenon expect a trend to continue in the future. Such a line of thinking is not true since past...
What is a Hospital Revenue Bond? A hospital bond is a type of municipal bond that is issued to raise financing for the construction of a hospital, nursing home, or other hospital facilities. The bond can also be used to purchase new equipment or upgrade existing equipment within the hospital. Hospital revenue bonds are issued...