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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

Short hedge  

Definition 1.

The sale of futures contracts to eliminate or lessen the possible decline in value of an approximately equal amount of the actual financial instrument or physical commodity. Related: Long hedge.
 

Definition 2.

The sale of a futures or options contract to protect against the possibility a decline in the price of securities or commodities that will be sold in the future. One example is selling short against the box.
 
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