- a cutting or clipping of the hair of the head
- the style in which the hair is cut
- Informal a financial loss, esp. a substantial one: often in the phrase take a haircut
- The act or an instance of cutting the hair.
- A style in which hair is cut.
- Slang A reduction, as in payment or value: “No one gets exactly what he wants from Chapter 11—creditors get a haircut, employees get laid off, and shareholders (usually) get zilch” (New Yorker).
- The act of cutting of the hair, often done professionally by a barber, hair stylist, or beautician.
- The way hair is cut.
- (law) In a bankruptcy proceeding, the proportional reduction in the debt that will be paid to each creditor, based on an evaluation of the total debt owed and the total assets of the debtor.
haircut - Investment & Finance Definition
Formulas that reduce the value of any given security based on its class, market risk, or maturity date. Haircuts come into play when the borrowers become unable to make payments or repay the loan or when companies value the securities they hold.