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safe harbor investment & finance definition

  1. A regulation that protects individuals or corporations from the legal consequences of certain actions they undertake. For example, firms filing forecasts with the SEC have a safe harbor from individuals or businesses that use the forecasts and are subsequently damaged (that is, they lose money), as long as the forecasts were prepared in good faith.
  2. A tactic in which the target of an unfriendly takeover makes itself less attractive by taking a specific action.

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