Person who buys securities to reduce the investment risk in a portfolio.
A trader who enters the market with the intent to protect a position in the underlying. An investor who uses futures market to minimize the risk in his or her business. Hedgers may be manufacturers, portfolio managers, bankers, farmers, etc.
a producer of the commodity (e
A Hedger in the weather market is someone (a company, business or person) that wants to eliminate a financial exposure to movements in the weather. The hedge removes the adverse weather effect and so reduces the variability of future cash flow revenues.
A person who deals in the physical commodity, and is looking to minimise or manage price risk by use of futures transactions.
One who hedges; one who attempts to transfer the risk of price change by taking an opposite and equal position in the futures or futures option market from that position held in the cash market.
One who purchases or sells a futures contract as a temporary substitute for a transaction to be made at a later date. Related: Hedge
A person who uses hedging instruments to protect his exposures is called a hedger.
A person who uses the markets to reduce the risk of his underlying position by undertaking a hedge. For example, a wheat farmer may sell wheat futures to guarantee him a fixed selling price for his wheat.
An individual or firm who uses the futures market to offset price risk when intending to sell or buy the actual commodity. See pure hedger, selective hedger.
A trader who enters the market with the specific intent of protecting an existing or anticipated physical market exposure from unexpected or adverse price fluctuations.
An individual or company owning or planning to own a cash commodity–corn, soybeans, wheat, U.S. Treasury bonds, notes, bills etc.– and concerned that the cost of the commodity may change before either buying or selling it in the cash market. A hedger achieves protection against changing cash prices by purchasing (selling)futures contracts of the same or similar commodity and later offsetting that position by selling (purchasing) futures contracts of the same quantity and type as the initial transaction.