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Legitimate hedging is one thing.
The move away from hedging is clear.
Note that hedging is not possible in this condition.
The term "hedging" is a red herring in banking.
The futures market is still underdeveloped, with puny volumes and thin liquidity, so hedging is hard.
"I think that legitimate portfolio hedging is a good thing," he said.
Similar(5)
That's why so much frantic bet-hedging is going on behind the scenes.
Work by Malin Gunnarsson and her colleagues at Uppsala University in Sweden recently confirmed that this is true in people, too.Such bet-hedging is sensible.
Such a conflict of interest could become acute in periods of market turbulence.Delta-hedging is a game which requires not just vigilance, but also liquid markets.
Indeed, modelling shows that genetic bet-hedging is not a successful strategy unless populations are small and costs of mating are low [14].
Bet-hedging is reported for several microorganisms including bacteria,, and yeast.
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