Qwoter Investment Advice

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z #

Hedger


A trader who enters the market with the intent to protect a position in the underlying asset; an investor who uses the futures market to minimize the risk in his or her business.
Additional Comments: Hedgers may be manufacturers, portfolio managers, bankers, farmers, and so on. Hedgers also use options to protect stock positions. For example, an investor can use a put to hedge a stock or an index put to hedge a stock portfolio.

Related Terms:
		Derivatives Derivatives are financial instruments whose value is based on the market value of an underlying asset ... Delta Hedge A strategy designed to protect the investor against directional price changes in the underlying asset by ... Index Funds An index fund is a fund that follows a passive investing strategy, meaning that the fund ...

« View the Stock Market Dictionary »

Latest Financial Advice

Free Investment Advice

Get free stock market tips and investing advice by subscribing to our newsletter:

* Your information will not be shared or sold.

Recommended Reading

Recommended Sites

All material is for informational purposes only and Qwoter is not responsible for any errors or omissions. The information is subject to change without notice and should
not be construed as definitive investment advice or recommendations. Please consult your tax or legal advisor(s) for questions concerning your personal or financial situation.