Showing results for "hedging"

• present participle of hedge.

hedging

Cultural  

1. The practice by which a business or investor limits risk by taking positions that tend to offset each other. For example, a business stands to lose money if the price of a commodity it holds declines, but it can offset this risk by agreeing to sell a specified amount of the commodity at a set price at some point in the future.

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Hedge funds, which are investment funds usually open only to the very wealthy, grew in the 1990s. The near failure of one such fund in 1998, Long-Term Capital Management, sent shock waves through Wall Street.

Example Sentences

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hedging

That’s a private customized investment approach designed to reduce losses during market downturns by combining investments in stocks with hedging tools such as options, futures and/or short-selling.

From MarketWatch ● Jul. 27, 2026

Over the years, the S&P 500 and the cross-currency basis swap have moved in lockstep on multiple occasions, with periods of strong hedging demand coinciding with falling U.S. equity prices as liquidity shifted.

From MarketWatch ● Jul. 23, 2026

Figures are adjusted for gains and losses from hedging instruments, foreign exchange derivatives and other items.

From The Wall Street Journal ● Jul. 23, 2026

Even after accounting for its hedging, Diamondback said gas sales remained negative 34 cents, on average.

From The Wall Street Journal ● Jul. 21, 2026

My mother’s usual line is that you should do these favors when asked, so why is she hedging on this one?

From "Cat's Eye" by Margaret Atwood

Related Words

• prevarication