It is reducing or controlling risk. This is done by taking a position in the futures market which is opposite to the one in the physical market with the objective of reducing a limited risk associated with price change.
Saturday, 19 April 2014
Hedging
It is reducing or controlling risk. This is done by taking a position in the futures market which is opposite to the one in the physical market with the objective of reducing a limited risk associated with price change.
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