Sentence examples for instruments for hedging from inspiring English sources

WASHINGTON — Nine years ago, Gary Gensler played a central role in fending off tough regulation for exotic financial instruments for hedging against risk.

The administration would impose much tougher regulation over the vast market for financial derivatives like credit-default swaps and other exotic instruments for hedging risk.

Speculation and herd behavior in derivatives markets can add to price volatility in underlying markets, but these instruments have genuine value for hedging and other purposes.

This strategy is conceivable in the current Philippine investment environment, as there exists a long standing money market industry, as well as a bond market, which may serve as sources for hedging instruments.

The creation of index contracts on the market allows you to bet whether all corporate bonds (or, indeed, different segments of the market such as investment grade and junk bonds) will rise or fall in value.As a result, the CDS is such a useful instrument for hedge funds and the trading desks of investment banks that it seems inconceivable it will go away.

Delta hedging strategies are ineffective for hedging volatility derivatives since they require very frequent rebalancing.

5. Limit the potential for hedging strategies.

The fund might also hedge its portfolio against risks, using credit default swaps, the filings said, or use those instruments "for non-hedging purposes".

The House Financial Services Committee, for instance, approved a provision on Wednesday that Mr. Frank said would exempt "the great majority" of businesses that use derivative instruments to hedge their business risks from trading such instruments through exchanges or clearinghouses.

We use it as a financial instrument to hedge jet fuel.

As the reform of the RMB exchange rate mechanism continues, foreign exchange risk faced by Chinese enterprises is increasing and the demand for exchange rate hedging instruments along with it.