hedge verb Meaning in Cambridge Business English Dictionary
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Meaning of "hedge" - Business English Dictionary

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hedge

verb [I or T]
 
 
/hedʒ/
FINANCE, STOCK MARKET to reduce the risk of losing money on shares, bonds, etc. that you own, for example by buying futures (= agreements to sell shares for a particular price at a date in the future) or options (= the rights to buy or sell shares for a particular price within a particular time period): European airports have been attracting investors keen to hedge long-term pension liabilities. We don't tend to hedge at all - in either stock or bond funds.hedge against sth Companies can hedge against currency movements, but many choose not to.hedge risk/exposure Airbus has hedged enough of its dollar exposure that a major short-term impact is unlikely.
hedge your bets to reduce the risk of failure or of losing money by making sure that you can choose between different possibilities: Some business leaders hedged their bets by donating money to both parties. Futures contracts allow companies in the nuclear sector to hedge their bets against price rises this year, next year or 10 years from now.
(Definition of hedge verb from the Cambridge Business English Dictionary © Cambridge University Press)
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