Buying Hedge

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Definition: Buying Hedge

Buying Hedge
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Full Definition of Buying Hedge

Buying futures to hedge against the sale of a cash commodity. An investor might use a buying hedge if he/she expects to buy a certain amount of the commodity in the future, but is worried about price fluctuations. He/she will buy a futures contract in order to be able to buy the commodity at a fixed price later. also called long hedge.

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https://payrollheaven.com/define/buying-hedge/
Modern Language Association (MLA):
Buying Hedge. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 19, 2024 https://payrollheaven.com/define/buying-hedge/.
Chicago Manual of Style (CMS):
Buying Hedge. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/buying-hedge/ (accessed: April 19, 2024).
American Psychological Association (APA):
Buying Hedge. PayrollHeaven.com. Retrieved April 19, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/buying-hedge/

Definition Sources

Definitions for Buying Hedge are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.