Hedging and Offline: Difference between pages

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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.
In the context of payment and settlement systems, this term may refer to the transmission of transfer instructions by users, through such means as voice, written or telefaxed instructions, that must subsequently be input into a transfer processing system.




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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.
The term may also refer to the storage of data by a transfer processing system on media such as a magnetic tape or disk so that the user may not have direct and immediate access to the data.




== See also ==
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* [[Arbitrage]]
* [[Authorisation]]
* [[Authority limits]]
* [[Basis risk]]
* [[Buy-side firm]]
* [[CertFMM]]
* [[Covering]]
* [[Delta hedging]]
* [[Effective]]
* [[Foreign exchange forward contract]]
* [[Futures]]
* [[Hedge accounting]]
* [[Inflation risk]]
* [[Interest rate guarantee]]
* [[Longevity]]
* [[Macro hedging]]
* [[MCT]]
* [[Option]]
* [[Outturn]]
* [[Overhedging]]
* [[Pre-settlement risk]]
* [[Guide to risk management]]
* [[Sell-side firm]]
* [[Speculation]]
* [[Uncovered]]
* [[Underhedging]]
* [[Warehousing]]


More generally, operating independently of - or disconnected from - another computer or electronic terminal. 


===Other links===
For example, not connected to the internet.


*[[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]
== See also ==
 
* [[Online]]
*[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:Treasury_operations]]
[[Category:Risk_frameworks]]
[[Category:Technology]]

Latest revision as of 15:48, 28 February 2018

1.

In the context of payment and settlement systems, this term may refer to the transmission of transfer instructions by users, through such means as voice, written or telefaxed instructions, that must subsequently be input into a transfer processing system.


2.

The term may also refer to the storage of data by a transfer processing system on media such as a magnetic tape or disk so that the user may not have direct and immediate access to the data.


3.

More generally, operating independently of - or disconnected from - another computer or electronic terminal.

For example, not connected to the internet.


See also