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what are the hedging strategies present to an investor?

what are the hedging strategies present to an investor?

Top Answer

1. Short Hedge Involves a short position in futures contracts... View the full answer

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Other Answers

Market Neutral – In this strategy, a hedge fund manager applies the same basic concepts mentioned... View the full answer

2 comments
  • Relative Value Arbitrage : This strategy is a catchall for a variety of different strategies used with a broad array of securities.
    • freddcrew345
    • Jul 20, 2016 at 1:12am
  • HEDGING STRATEGIES INCLUDE : 1) Market Neutral :In this case, the fund manager would seek to make investments in both long and short positions so that the beta measure of the overall fund is as low as possible. 2) Long/Short :In this strategy, hedge fund managers can either purchase stocks that they feel are undervalued or sell short stocks they deem to be overvalued. 3) Relative Value Arbitrage : This strategy is a catchall for a variety of different strategies used with a broad array of securities. The underlying concept is that a hedge fund manager is purchasing a security that is expected to appreciate, while simultaneously selling short a related security that is expected to depreciate.
    • freddcrew345
    • Jul 20, 2016 at 1:16am

ANSWER The hedging strategies present to an investor Equity Hedge... View the full answer

1 comment
  • Hope the well explained answer will be of more importance; success.....!
    • Prof.William
    • Jul 20, 2016 at 1:21am

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