Haircut (finance)

In finance, a haircut is the difference between the market value of an asset used as loan collateral and the amount of the loan. The amount of the haircut reflects the lender's perceived risk of loss from the asset falling in value or being sold in a fire sale. The lender will, however, still hold a lien for the entire value of the asset. In the event the collateral is sold to repay the loan, the lender will have a higher chance of being made whole.

Expressed as a percentage of the collateral's market value, the haircut is the complement of the Loan-to-value ratio (together they equal 100% of the value.)

For example, United States Treasury bills, which are seen as fairly safe, might have a haircut of 10%, while for stock options, which are seen as highly risky, the haircut might be as high as 30%. In other words, a $1000 treasury bill will be accepted as collateral for a $900 loan, while a $1000 stock option might only allow a $700 loan.

Lower haircuts allow for more leverage. Haircut plays an important role in many kinds of trades, such as repurchase agreements (referred to in debt-instrument finance as "repo" but not to be confused with the concept of repossession denoted by that term in consumer finance) and reverse repurchase agreements ("reverse repo" in debt-instrument finance).

Hairstyle

A hairstyle, hairdo, or haircut refers to the styling of hair, usually on the human scalp. The fashioning of hair can be considered an aspect of personal grooming, fashion, and cosmetics, although practical, cultural, and popular considerations also influence some hairstyles. The oldest known depiction of hair braiding dates back about 30,000 years. In ancient civilizations, women's hair was often elaborately and carefully dressed in special ways. In Imperial Rome, women wore their hair in complicated styles. From the time of the Roman Empire until the Middle Ages, most women grew their hair as long as it would naturally grow. During the Roman Empire as well as in the 16th century in the western world, women began to wear their hair in extremely ornate styles. In the later half of the 15th century and on into the 16th century a very high hairline on the forehead was considered attractive. During the 15th and 16th centuries, European men wore their hair cropped no longer than shoulder-length. In the early 17th century male hairstyles grew longer, with waves or curls being considered desirable.

Haircut (album)

Haircut is a studio album released by George Thorogood. It was released in 1993 on Capitol Records. The album peaked at #120 on the Billboard 200.

Track listing

Personnel

The following personnel are credited on the album:

References

Haircut (film)

Haircut (Portuguese: Corte de Cabelo) is an independent Portuguese drama film directed by Joaquim Sapinho, produced at Rosa Filmes, which was nominated for the Golden Leopard at the 1995 Locarno International Film Festival.

Reception

Being nominated for the Golden Leopard at the 1995 Locarno International Film Festival, Haircut also won the award for best film at the 1996 Angers European Film Festival, and the Best Actress Award for Carla Bolito at the Geneva Film Festival. In its home country, Haircut was highly acclaimed both by the critic and by the audience in an unprecedented way for Portugal. It was considered the best depiction of the Portuguese youth of the nineties captured on film. The Brazilian newspaper Estado de São Paulo called it the first post-modern Portuguese film.

Production

Haircut was not only the directorial debut of Portuguese director Joaquim Sapinho, but also the film debut for most of the cast and crew of the film. Haircut became famous even before having been shot, for its long pre-production, which consisted on thousands of casting calls, which would finally end with the finding of the leading lady Carla Bolito. The film was shot in a series of popular locations in Lisbon where, however, no film had ever been shot before, like the 1960s expressionist Mexicana café (architect Jorge Ferreira Chaves), the 1980s post-modern shopping center Amoreiras or the Príncipe Real Garden where, some years later, the final scene of João César Monteiro's film Vai e Vem would be shot.