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LSDefine

Simple English definitions for legal terms

hedge

Read a random definition: avizandum

A quick definition of hedge:

Term: HEDGE

Definition: When you make a bet or investment, you can protect yourself from losing money by making another bet or investment that will cancel out the first one. This is called hedging. It's like wearing a helmet when you ride a bike to protect your head from getting hurt if you fall.

A more thorough explanation:

Definition: To use two transactions that balance each other out to ensure that you don't lose money; to make arrangements in advance to protect yourself from losing money on an investment, speculation, or bet. For example, a buyer of commodities might buy insurance to protect against unfavorable price changes.

Example: Let's say you own a company that relies on a certain commodity, like oil, to make your products. You're worried that the price of oil might go up, which would hurt your profits. To protect yourself, you could buy futures contracts for oil at the current price. If the price of oil goes up, you'll make money on the futures contracts, which will offset the higher cost of buying oil for your company. If the price of oil goes down, you'll lose money on the futures contracts, but you'll save money on buying oil for your company. Either way, you're protected from losing too much money.

This example illustrates the definition of a hedge because the company is using a transaction (buying futures contracts) to offset the risk of losing money on their investment in oil. By doing this, they're ensuring that they won't lose money no matter what happens to the price of oil.

hedagium | hedonistic utilitarianism

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JumpySubsequentDolphin
23:42
hi SPLITTY!!!
HIII DOLPHYY
stanford finally sent me a status checker tomight
do yall know if "Your file has been submitted for review" just means under review
Dkk
0:08
@SplitterusClitterus: really depends on the school. Could mean they have just received it. Could be it is under review. Could mean they already have a decision for you. For Stanford, idk.
Mmm ok thank you
JumpySubsequentDolphin
1:19
my friend JUST sent me that omg
JumpySubsequentDolphin
1:19
also @renard that shows your IG handle
JumpySubsequentDolphin
1:20
I assume you don’t want to doxx yourself 😧
JumpySubsequentDolphin
1:20
if we send enough messages it will stop showing the message tho!!!!!!!!
JumpySubsequentDolphin
1:21
@renard99: come back and spam messages I only have so many left 😔
JumpySubsequentDolphin
1:23
. . .
Dkk
1:49
@renard99: you shared a post a good friend of mine had liked. Lmfao but respect +1
Dkk
1:49
I laughed at it too +1
1:50
Damn lol
1:50
Follow me brah
JumpySubsequentDolphin
2:01
I followed you
JumpySubsequentDolphin
2:01
don’t dox me ☹️
2:06
Nw I won’t dox you 😎
JumpySubsequentDolphin
2:07
don’t judge my feed either I’m bad at Instagram :/
3:17
has anyone here worked for a DAs office during the school year
3:43
LMFAOOO THE INSTAGRAM POST
m10
3:50
I have no idea how it shows his Insta handle. This makes me an old man.
Dkk
3:52
i think you all are just bullshitting
Dkk
3:54
Y'all are gay af.
Dkk
3:54
Making drama out of nothing like a buncha homosexuals.
5:45
Dk I think it shows up
5:45
if you’re already signed into Instagram
5:55
workin workin, grinding
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