Core Assets

DEFINITION of 'Core Assets'

An essential, important or valuable property of a business without which a company cannot carry on with its profit-making activities. A business would dissolve without its core assets, and companies that sell off core assets are usually liquidating and on the verge of bankruptcy.

BREAKING DOWN 'Core Assets'

Core assets are crucial to the continued success of a business. These assets help the business run and stay viable. Companies that are having money trouble tend to raise money initially by selling off non-core assets (assets that are not essential to the continued functioning of a business), not core assets.

RELATED TERMS
  1. Non-Core Assets

    Assets that are either not essential or simply no longer used ...
  2. Business Asset

    A piece of property or equipment purchased exclusively or primarily ...
  3. Core Competencies

    The main strengths or strategic advantages of a business. Core ...
  4. Non-Operating Asset

    Classes of assets that are not essential to the ongoing operations ...
  5. Core Liquidity

    Cash and other financial assets that banks possess that can easily ...
  6. Active Asset

    An asset that is used by a business in its daily or routine operations. ...
Related Articles
  1. Investing

    What are Core Competencies?

    Core competencies are the essence of what a company does well. A business uses its core competencies to make and develop products, goods and services according to its company mission. Core competencies ...
  2. ETFs & Mutual Funds

    The Top 5 Large-Cap Core Mutual Funds for 2016

    Learn the benefits and risks of large-cap core investments, and discover the best large-cap core mutual funds to consider for 2016.
  3. Managing Wealth

    What is a Real Asset?

    A real asset is a physical asset that has value.
  4. Managing Wealth

    Explaining Financial Assets

    A financial asset is intangible property that represents a claim on ownership of an entity or contractual rights to future payments.
  5. Managing Wealth

    What's an Asset?

    An asset is a resource with economic value.
  6. Managing Wealth

    Building My Portfolio with BlackRock ETFs and Mutual Funds (ITOT, IXUS)

    Find out how to construct the ideal investment portfolio utilizing BlackRock's tools, resources and its popular low-cost exchange-traded funds (ETFs).
  7. Personal Finance

    Assessing Bank Assets: Are Your Savings Safe?

    Learn how to determine if your assets are safe or if your bank has spread itself too thin.
  8. Investing

    Understanding Capital Assets

    A capital asset is one that a company plans on owning for more than one year, and uses in the production of revenue.
  9. Investing

    Core Earnings Strip Away "Creative" Accounting

    This metric is an attempt to counteract creative accounting, but it poses its own set of challenges.
  10. Investing

    Alternatives To Business Bankruptcy

    Bankruptcy isn't the only alternative for a struggling business. It can try negotiating with creditors or liquidating assets outside the U.S courts.
RELATED FAQS
  1. What affects an asset's liquidity?

    Learn about what affects an asset's liquidity, including examples of liquid and fixed assets, and how a company's liquidity ... Read Answer >>
  2. Are stocks real assets?

    Learn why stocks are classified as financial assets, not real assets. Understand the properties that determine whether an ... Read Answer >>
  3. Are current assets liquid or capital?

    Take a deeper look at liquid current assets for businesses and individuals, and learn how they differ from other types of ... Read Answer >>
  4. At what levels are core competencies required for businesses operating in the primary ...

    Learn about how core competencies are used in business and how they help primary and secondary sector businesses when used ... Read Answer >>
  5. What is the difference between a fixed asset and a current asset?

    Discover the difference between fixed assets and current assets and the value of each to a company. Learn the category and ... Read Answer >>
  6. What is the impact of inflation on liquid assets?

    Find out why inflation is particularly problematic for liquid assets, and learn what holders of liquid assets can do when ... Read Answer >>
Hot Definitions
  1. Bond Ladder

    A portfolio of fixed-income securities in which each security has a significantly different maturity date. The purpose of ...
  2. Duration

    A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. ...
  3. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  4. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  5. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  6. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
Trading Center