Buying Hedge

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Long Hedge

The purchase of a futures contract with the intention of accepting delivery of the underlying asset. One conducts a long hedge in order to lock in a price for an asset one must purchase in the future. This protects the holder of the futures contract from volatility in the underlying asset's price. If the spot price of the underlying asset moves in a direction more beneficial for the holder, he/she can sell the futures contract and buy the asset at the spot price. An example of a long hedge is a situation in which a company needs to buy oil by June. The spot price of oil may be $70 per barrel, but the futures price for June delivery may be only $60. The company would choose to buy the futures contract at $60 per barrel. A long hedge is also called a buy hedge.

buying hedge

See long hedge.

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Buy Hedge Long Hedge			But our overall philosophy led us to keep buying hedges. Burn the "speculators"! Why are airlines sounding the alarm against ... by Mangu-Ward, Katherine / Reason Hedge funds are buying companies while private equity funds are buying hedge funds. The new power brokers: the big four who run the new global economy by Farrell, Diana; Lund, Susan / The International Economy Yet, paradoxically, more and more mortgage bankers are only now inquiring about, and actually buying hedges for servicing. Wall Street's costly quest by England, Robert Stowe / Mortgage Banking			Buy Write Buy-and-Hold buy-and-hold strategy Buy-and-Write Strategy Buy-In Management Buy-Out Buy-or-Die Message buy-sell agreement Buy-Side Analyst Buyback buyback agreement Buydown Buyer Buyer Behavior Buyer Credit Buyer Credit Protocol Buyer Readiness Stages Buyer's Agent buyer's broker Buyer's Call buyer's market Buyer's Remorse Buyers' Market Buyers/sellers on balance Buying Climax Buying Habits Buying Hedge Buying Panic Buying Power Buying Rate Buying the Index buyout Buyout firm Buyout Program BV BW BWP BY by operation of law BYB Bylaw Amendment Limitation Bylaw Amendment Limitations bylaws Byline Bypass Trust BYR Byte BZ BZD C C Corporation C&I			buyers' markets Buyers/sellers on balance BUYF Buyi Buyid Buyid dynasty Buyids Buyin Management Buyout Buyin Management Buyouts buying buying buying buying buying Buying & Merchandising buying a computer for personal use buying a PC monitor Buying a Spread Buying A Ticket Before You Get on Board Saves Time or Problems Later Buying Activity Buying and Holding buying and selling Buying Back Buying Back Buying climax Buying climax Buying Climaxes Buying Decision Making Unit Buying Habit Buying Habits Buying Hedge Buying Hedges Buying in Buying in Buying in Buying in buying it buying it buying it Buying land Buying land Buying Loads of Tat Online Buying Low and Selling High Buying Low Selling High Buying Low, Selling High Buying of titles Buying off plan Buying Office Contracting Official Buying on Agreement Buying on Margin Buying Organization buying out buying out buying out Buying Overbought/Selling Oversold buying panic buying panic Buying Panics Buying Panics Buying power Buying power

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