Hedging and Investment: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Add link.)
 
imported>Doug Williamson
(Link with Payback period page.)
 
Line 1: Line 1:
1.
1.  


Traditionally hedging refers to the process whereby a firm uses financial instruments (such as forward contracts, futures contracts or options) or other techniques to reduce the impact of fluctuations in such factors as the market price of credit, foreign exchange rates, or commodity prices on its profits or corporate value.
''Economics''.
Expenditure by firms on (or creation by firms of) capital goods and stock to be used for future production or sale.




2.
2.  


The application of hedging  techniques has been extended to the management of many other risks including for example inflation and longevity risk arising in pension funds.
More broadly, the expenditure of money or money's worth with a view to increasing over time the value invested.




== See also ==
== See also ==
* [[Arbitrage]]
* [[Aggregate demand]]
* [[Authorisation]]
* [[Asset risk]]
* [[Authority limits]]
* [[Associate]]
* [[Basis risk]]
* [[Cash investing in a new world]]
* [[Buy-side firm]]
* [[Injection]]
* [[CertFMM]]
* [[Investment Committees]]
* [[Covering]]
* [[Investment company]]
* [[Delta hedging]]
* [[Investor]]
* [[Effective]]
* [[Non-investment product]]
* [[Foreign exchange forward contract]]
* [[Payback period]]
* [[Futures]]
* [[Robo-adviser]]
* [[Hedge accounting]]
* [[Short-term investments]]
* [[Hedge fund]]
* [[Inflation risk]]
* [[Interest rate guarantee]]
* [[Longevity]]
* [[Macro hedging]]
* [[MCT]]
* [[Option]]
* [[Outturn]]
* [[Overhedging]]
* [[Pre-settlement risk]]
* [[Guide to risk management]]
* [[Sell-side firm]]
* [[Speculation]]
* [[Transfer]]
* [[Uncovered]]
* [[Underhedging]]
* [[Warehousing]]
 
 
===Other links===
 
*[[Media:2015_05_May_-_The_devil_is_in_the_detail.pdf| The devil is in the detail, The Treasurer, 2015]]
 
*[http://www.treasurers.org/node/8925 Harness your hedges, The Treasurer, April 2013]
 
*[http://www.treasurers.org/node/4592 Falling foul of currency hedging, John Grout, ACT 2009]
 
*[http://www.treasurers.org/node/689 Interest rate hedging: demand the proof, The Treasurer, 2008]
 
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]

Revision as of 20:55, 5 September 2017

1.

Economics.

Expenditure by firms on (or creation by firms of) capital goods and stock to be used for future production or sale.


2.

More broadly, the expenditure of money or money's worth with a view to increasing over time the value invested.


See also

Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=Hedging&oldid=28495’