Trading Ideas
Hedging: Explained
Hedging is a kind of investment strategy that helps people mitigate risk. While many people connect the concept of hedging to hedge funds, hedging occurs in day-to-day life as well. This strategy allows you to lower your risks, but you have to know what you are doing. Otherwise, you could end up getting lower returns than you expected.
What Is Hedging?
In your day-to-day life, you have most likely used hedging before. When you get car insurance, you are basically hedging your risk of getting into an accident. If you do not get into a car crash, then you end up losing …read more […]