FT MarketWatch

Hedge

An investment made in Order to reduce the Risk of adverse price movements in a security, by taking an offsetting Position in a related security, such as an Option or a Short sale.

Related Terms: 9 ECU, Movement, Order, Option, Offset, Position, Risk, SEC, Short
Other Related Pages: Category: Trading Starting With: H
Semi Related Terms: 570 CLICK HERE TO VIEW
10-K, Accrual of discount, Agency security, Amortization of premium, Asked price, Asking price, Asset-backed security, At par, All or any part, Alternative order, At best, At call, Automated Order Entry System, Adjusted futures price, At risk, Add-on service, Abstract of title, Action to quiet title, As is, Assignment to creditors, Attorney in fact, Assignment of mortgage, A shares, Automatic investment plan, Average price per share, Aggregate exercise price, American option, American-style option, Asian option, At the money, Average option, Across the board, Additional paid-in capital, Ad valorem, Against the box, At the bell, At the close, At the figure, At the full, At the market, At the opening order, Away from the market, Below the line, Books of final entry, Books of original entry, Banking Act of 1933, Bid-to-cover ratio, Book-entry security, Bureau of Public Debt, Brought over the wall, Buying on margin, Buy limit order, Buy minus order, Buy on close, Buy on opening, Buy order, Buy stop order, Buy the book, Balance of payments, Board of Governors, Breaking the syndicate, Bill of exchange, Bill of sale, Breach of trust, By the book, Benchmark risk, B shares, Benefit offset, Balanced investment strategy, Blow-off top, Breadth-of-market theory, Beat the gun, Capital investment, Cost Of Goods Sold, Cost of sales, Credit order, Cabinet security, Call price, Call risk, Certificate of Participation, Committee on Uniform Securities Identification Procedures, Conversion option, Conversion parity price, Conversion price, Convertible security, Credit risk, Code of procedure, Contingency order, Contingent order, Capitalization of income, Consumer Price Index, Cost of Living Adjustment, Cost-of-living index, Council of Economic Advisers, Cash price, Chasing the market, Cheapest to deliver, Chicago Board of Trade, Country risk, Cost-of-living rider, Certificate of stock, Cost of carry, Certificate of title, Contract sale, Cancellation of debt, Certificate of Claim, Cost of debt capital, Cost of funds, Closed-end investment company, C shares, Call option, Class of options, Close to the money, Counterparty risk, Covered option, Certificate of Occupancy, Cloud on title, Cash or Deferred Arrangement, Cash sale, Class A Shares, Class B Shares, Crash of 1929, Crash of 1987, Coefficient of determination, Certificate of delivery, Close a position, Closing price, Cornering the market, Curbs in, Deposit in transit, Date of issue, Date of payment, Digested security, Dollar price, Droplock security, Day order, Designated Order Turnaround, Discretionary order, Division of Enforcement, Division of Investment Management, Division of Market Regulation, Do Not Reduce, Date of record, Dividend in arrears, Desk (the), Division of labor, Delivery price, Derivative security, De-escalation clause, De facto, Doing business as, Durable Power of Attorney, Date of maturity, Debtor in possession, Debtor-in-possession financing, Deed of Release, Deed of Trust, Default risk, Discharge of bankruptcy, Discharge of lien, Due-on-sale clause, Deep in the money, Deep out of the money, Deed of Surrender, Department of Housing and Urban Development, Distressed security, Defensive investment strategy, Diversifiable risk, Dogs of the Dow, Depth of market, Downside risk, Eurodollar certificate of deposit, Embedded option, Equity risk premium, Escrowed to maturity, Event risk, Exchangeable security, Exempt security, Either-or order, ECU, E-mini, Exchange of spot, Excluded risk, Equity option, European-style option, Exchange-traded option, Employee Retirement Income Security Act of 1974, First In First Out, Flight to quality, Flow of funds, Full price, Fill or kill, Front-ending an order, Foreign currency option, Forward P/E, Factors of production, Favorable balance of trade, Free market price, Forward price, Futures option, Futures price, Foreign direct investment, Form 8-K, Form S-1, Floating security, Financial risk, Forward sale, Family of funds, Fund of funds, Far option, Fixed investment trust, Free right of exchange, Graduated security, Guaranteed Investment Contract, G-7, GDP implicit price deflator, General Agreement on Tariffs and Trade, G-8, Group sale, Gather in the stops, Going short, Hart-Scott-Rodino Act of 1976, Hit the bid, House of issue, Holder in due course, Home equity line of credit, Hammering the market, Held at the opening, Holding the market, Horizontal price movement, Investment flows, In escrow, Inflation-indexed security, Interest rate risk, Investment bill, Investment-grade bond, Investment letter, Investment security, Investment value, In-house, Investment Advisor Act of 1940, Investment bank, Investment banker, Investment Bankers Association, Investment banking, Investment banking group, Investment Company Act of 1940, In line, Investment multiplier, Insider Trading sanctions Act of 1984, Internal Rate of Return, Indication of interest, In intestacy, In play, In-process research and development, Income risk, Investment company, Investment fund, Investment objective, Investment policy, Investment trust, Index option, Interest rate option, I/O strip, Investment property, In-service withdrawal, Idiosyncratic risk, Investment philosophy, Imbalance of orders, In and out, In sympathy, In the tank, Jumping the gun, Knock-out option, Last In First Out, Lender of last resort, Law of one price, Letter security, Limited risk, Long position, Lending at a rate, Limit-on-close order, Limit order, Limit order book, Limit order information system, Limit price, Law of demand, Law of supply, Limit move, Letter of comment, Legal risk, Line of credit, Loan-to-cost, Loan-to-value, Lock-in, Lapsed option, Listed option, Leading the market, Locked in, Long-term gain or loss, Last sale, Level I quotes, Money order, Marketable security, Market conversion price, Mortgage-backed security, Mortgage pass-through security, Municipal investment trust, Make a market, Market if touched order, Market on close order, Market order, Mark-to-market, Medium of exchange, Marginal propensity to consume, Money at call, Mortgage risk, Maximum price fluctuation, Movement, Net investment, Negotiable certificate of deposit, Negotiable Order of Withdrawal, Negotiable security, Notice of Sale, National Association of Securities Dealers, National Association of Securities Dealers Automated Quotations system, No limit order, Non-equity option, Notice of Default, Naked option, Near option, Non-qualified stock option, Non-statutory stock option, National Association of Real Estate Investment Trusts, Non-investment property, Naked position, Net position, Off-balance-sheet financing, Off the books, Office of Thrift Supervision, Offering price, Out-of-favor, Over-the-Counter, Off-floor order, On-floor order, On margin, Open order, Option account, Or better, Order, Order flow, Order ticket, Option, Opinion of title, On account, On-the-spot loan, Option income fund, Option chain, Option contract, Option holder, Option margin, Option pool, Option premium, Option price, Option pricing curve, Option series, Option spread, Option writer, Out of the money, On-balance volume, Off-board, Offset, On close, On open, On the opening, Open position, Option exchange, Order book official, Order imbalance, Pooling of interests, Payment-in-kind security, Price Value of a Basis Point, Payment for order flow, Position, P&L, Price index, Producer Price Index, Parity price, Position trader, Price limit, Public offering price, Power of Attorney, Preforeclosure sale, Prepayment risk, Principal risk, Prioritization of debt, Physical option, Position limit, Price spread, Put option, Paid-in capital, Paid-in surplus, Percent held by institutions, Private Investment in Public Equity, Preservation of capital, Painting the tape, Price range, Price-weighted index, Profit-taking, Return of capital, Return on Capital, Return on Invested Capital, Return on Total Assets, Risk adjusted return, Real Estate Mortgage Investment Conduit, Redemption price, Registered security, Residual security, Restricted security, Risk, Reading the tape, Regulation D, Regulation G, Regulation T, Regulation U, Round of funding, Rules of Fair Practice, Rate of exchange, Reciprocal of European terms, Regulated investment company, Retail Price Index, Reinvestment risk, Red herring, Regulation A, Right of first refusal, Right of rescission, Right to Know, Revolving line of credit, Right of recourse, Rule of 78, Right of redemption, Retirement Equity Act of 1984, Risk/return trade-off, Risk arbitrage, Risk-averse, Risk management, Risk neutral, Risk premium, Risk seeking, Return on Capital Employed, Rate of return, Real rate of return, Risk capital, SEC filing, SG&A, Short-term reserves, Sight letter of credit, S&L, SEC, Short bond, Short-term, Stamped security, SEC fee, Segregation of securities, Sell limit order, Sell order, Sell the book, Significant order, Small Order Execution System, Split order, Stop-limit order, Stop order, Stop price, Standard of living, Systemic risk, Settlement price, Short hedge, Spot price, Second-to-die insurance, Short interest, Short interest ratio, Stock option, Stock option plan, Subscription price, Statute of Limitations, Statutory investment, Sale and leaseback, Satisfaction of debt, Security interest, Security loan, Senior security, Staggered board of directors, Systematic investment plan, Selling the spread, Short leg, Short market value, Short straddle, Single option, Spread option, Social Security, Social Security Tax, Share price, Split-adjusted price, Security analysis, Selling short, Selling short against the box, Short, Short cover, Shorting against the box, Short position, Short purchase, Short sale rule, Short squeeze, S Corporation, Short-term gain or loss, Subchapter M, Subchapter S Corporation, Scale order, Schedule C, Securities Act of 1933, Securities Acts Amendments of 1975, Securities Exchange Act of 1934, Seek a market, Short swing profits, Short swing rules, S&P phenomenon, T-Bill, Term to maturity, Treasury Inflation-Protected Security, Trust-preferred security, Take a position, Time order, Trailing P/E, Tenancy by the entirety, TED spread, Truth in Lending, Tenancy at will, The Street, Timing the market, Taxpayer Relief Act of 1997, Tax Reform Act of 1986, Tax Reform Act of 1993, Tax sale, Take a bath, Target price, U.S. Government Agency Security, U.S. Savings Bond, U.S. Treasury, U.S. Treasury Bill, U.S. Treasury Bond, U.S. Treasury Note, U.S. Treasury Securities, Unlimited risk, Underlying security, Uncovered option, Unit Investment Trust, Unsystematic risk, Unit of trade, Unit of trading, Wage price spiral, Waiver of premium, Wash sale rule, When, as, and if issued, X or XD, Year-To-Date, Yield to call, Yield to maturity, Yield to worst, Y shares, Zero-investment portfolio