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Quantitative Finance · Glossary

What is Holding-company discount?

Definition 12.2 Strategies I: Equities and Futures · Chapter 12 — Share Classes, Holding Companies, Closed-End Funds and SPACs

A holding-company discount is the amount by which a holding company’s market value falls short of the value of its stakes in other listed and unlisted companies (net of its debt), expressed as a fraction of that value.

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