HTM

HTM
held-to-maturity (HTM)
One of three defined categories established in FAS 115 for the classification of financial instruments held as assets on the books of an investor. HTM securities are those the investor intends to hold to maturity and is able to hold to maturity. Designation of a security as HTM allows the investor to report the security value at historical cost plus accretion or minus amortization. Unrealized gains or losses are not shown on the balance sheet, reflected in reported income, or reflected in reported net worth. FAS 115 imposes conditions that restrict an investor's flexibility to remove securities from the HTM category.
See available-for-sale, FAS 115, and trading. American Banker Glossary

Financial and business terms. 2012.

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