Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 3 terms
A listed entity whose principal asset is stakes in other companies rather than an operating business of its own.
You own the underlying indirectly and receive only what flows up as dividends, taxed on the way. That is the structural reason these trade below the sum of their parts.
The gap between a holding entity’s market value and the value of the stakes it owns.
Real, persistent, and it needs a catalyst to close. Being right without one pays nothing.
A dividend received by one company from another. Where an Indian company receives one and itself distributes a dividend within the period prescribed, it may deduct what it distributes against what it received, up to the amount received.
The relief is conditional on passing the cash on. A holding company that receives a dividend and keeps it is taxed on the receipt at its own rate, which is part of why cash sitting one layer down is worth less than it looks.