hedged positions

[/hɛdʒd pəˈzɪʃənz/]
nounpl: hedged positions
posições protegidas
1. Investment positions where offsetting trades or financial instruments are used to reduce or eliminate risk exposure
The portfolio manager maintained hedged positions to protect against market volatility.
O gerente de portfólio mantinha posições protegidas para se proteger contra a volatilidade do mercado.
2. A strategy where an investor takes an opposite position in a related security or derivative to minimize potential losses
By using currency hedged positions, the company limited its exposure to exchange rate fluctuations.
Ao usar posições protegidas em moeda, a empresa limitou sua exposição às flutuações das taxas de câmbio.
3. Financial commitments that are simultaneously long and short in related instruments to achieve risk neutrality
Institutional investors often employ hedged positions as part of their risk management strategy.
Investidores institucionais frequentemente empregam posições protegidas como parte de sua estratégia de gestão de risco.
Hedged positions are fundamental to modern finance in both Brazil and the USA. In Brazilian markets, this strategy became increasingly popular after the Real Plan (1994) and currency liberalization. American investment banks and hedge funds extensively use hedging strategies, and the terminology is widely understood in both countries' financial sectors. The concept reflects a conservative, risk-aware investment philosophy prevalent in institutional finance.
NYC Slang
covered positions / protected bets
Synonyms / Sinônimos
protected positionsoffset positionsbalanced positionsrisk-neutral positionscovered positions
Antonyms / Antônimos
unhedged positionsnaked positionsexposed positionslong positionsshort positions

Regional Variations

General Brazilian
posições protegidas
Standard financial terminology used in Brazilian markets and finance industry
São Paulo
posições com hedge
Common in São Paulo financial center; may use English 'hedge' directly
Rio de Janeiro
posições cobertas
Alternative term used in Rio financial circles
Portugal
posições cobiertas/posições protegidas
Used similarly to Brazilian Portuguese but with European spelling conventions

Related Words

hedgederivativerisk managementoffsetting tradefutures contractoptions strategyportfolio protectioncounterparty

Related Idioms & Phrases

play both sides of the fence
have your cake and eat it too
cover your bases
play it safe
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