Holdings

Holdings are assets owned by an individual or organization. They encompass investments, real estate, intellectual property, and other properties, collectively representing the entity's portfolio of resources. In corporate practice, the term often denotes the holdings of a holding company, a parent corporation that owns a controlling interest in one or more other companies, thereby exercising influence or control.

A holding company differs from a subsidiary; the former exists primarily to own shares, while the latter is an operating business that may be run by the parent. Holdings may include non-operating assets such as financial investments or idle property that is temporarily not linked to an operating unit.

Common types of holdings include financial holdings (stocks, bonds, cash equivalents), real estate holdings (land and buildings), operating holdings (subsidiaries and joint ventures under management), and intellectual property holdings (patents, trademarks, copyrights). Geographic or sector diversification is often pursued to balance risk.

Valuation and accounting: In financial statements, holdings are reported as investments. Depending on ownership level and intended use, accounting may employ cost, fair value, or the equity method, and, where control exists, consolidation of subsidiaries. Impairment and non-controlling interests affect reported equity. For example, Berkshire Hathaway is renowned for its broad holdings portfolio.