According to gossip around town, the well-connected have been hedging their bets since the September.
If it peddles mortgage-backed securities to its customers while hedging them for its own account?
Karl Rove says Romney has the edge in the overall vote on Election Day and in his hedging way seemed to predict a Romney triumph.
Old English hecg, originally any fence, living or artificial, from West Germanic *khagja (cf. Middle Dutch hegge, Dutch heg, Old High German hegga, German Hecke "hedge"), from PIE *kagh- "to catch, seize; wickerwork, fence" (cf. Latin caulae "a sheepfold, enclosure," Gaulish caio "circumvallation," Welsh cae "fence, hedge"). Related to Old English haga "enclosure, hedge" (see haw). Figurative sense of "boundary, barrier" is from mid-14c. Prefixed to any word, it "notes something mean, vile, of the lowest class" [Johnson], from contemptuous attributive sense of "plying one's trade under a hedge" (hedge-priest, hedge-lawyer, hedge-wench, etc.), a usage attested from 1530s.
late 14c., "make a hedge," also "surround with a barricade or palisade;" from hedge (n.). The sense of "dodge, evade" is first recorded 1590s. That of "insure oneself against loss," as in a bet, by playing something on the other side is from 1670s, originally with in; probably from an earlier use of hedge in meaning "secure (a debt) by including it in a larger one which has better security" (1610s). Related: Hedged; hedging. The noun in the wagering sense is from 1736.
The practice by which a business or investor limits risk by taking positions that tend to offset each other. For example, a business stands to lose money if the price of a commodity it holds declines, but it can offset this risk by agreeing to sell a specified amount of the commodity at a set price at some point in the future.
Note: Hedge funds, which are investment funds usually open only to the very wealthy, grew in the 1990s. The near failure of one such fund in 1998, Long-Term Capital Management, sent shock waves through Wall Street.
Something that offsets expected losses: People were buying gold as a hedge against inflationverb
(also hedge off) To transfer part of one's bets to another bookmaker as a means of reducing possible losses if too many of one's clients were to win: Big banks use derivatives to hedge their bets on which way the markets are going (1672+)