Meaning HEDGING: A strategy designed to reduce investment risk using call options, put options, short-selling, or futures contracts. A hedge can help lock in profits. Its purpose is to reduce the volatility of a portfolio by reducing the risk of loss
More terms such as Hedging in Dictionary H.
- Definition Hot Money:
- Examples Money that moves across country borders in response to interest rate differences and that moves away when the interest rate differential disappears hedging definition.
- Definition Human Capital:
- Examples The unique capabilities and expertise of individuals hedging explain.
- Definition Hospital Revenue Bond:
- Examples A bond issued to finance construction of a hospital by a municipal or state agency hedging what is.
- Definition Hemline Theory:
- Examples prices move in the same direction as the hemlines of women's dresses. For example, short skirts (1920s and 1960s) are symbolic of bullish markets and long skirts (1930s and 1940s) are symbolic hedging meaning.
- Definition Haircut:
- Examples The margin or difference between the actual market value of a security and the value assessed by the lending side of a transaction hedging abbreviation.