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New2grammar Posted 18 years ago
Grammar

hedge his positions

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00Societe Generale has said Kerviel began trading illicitly in 2005 for modest amounts and later built up to bets totaling some €50 billion discovered on Jan. 18, which the bank then liquidated.02p

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00On January 24, the bank revealed almost €5 billion in losses from closing the positions, saying Kerviel forged documents and e-mails to suggest he had hedged his positions.02p

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00What's the meaning of position in this context?02p

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00Thanks in advance!02p

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Top answer

0 to hedge his positions means to limit potential losses by covering the risk via another financial instrument02br 00So the position is hedged 0-

— Optilang

  • 0 to hedge his positions means to limit potential losses by covering the risk via another financial instrument02br 00So the position is hedged 0-
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3 Answers
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0 to hedge his positions means to limit potential losses by covering the risk via another financial instrument02br
00So the position is hedged 0-
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0Position is the state of the transaction - in profit or loss.02br
00When a trader deals he takes a position on something - either going long or short of an instrument02br
00As explained above, he can then hedge that position to minimise loss 0-
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0Thanks, Optilang!0-
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