LO.1 Hyacinth, Inc., is a dealer in securities. The firm has spotted a fast-rising company and would like to buy and hold its stock for investment. The stock is currently selling for

$15 per share, and Hyacinth thinks it will climb to $63 a share within two years. How can Hyacinth ensure that any gain it realizes will be taxed as long-term capital gain? Draft a letter responding to Hyacinth’s inquiry. The firm’s address is 200 Morningside Drive, Hattisburg, MS 39406.