Series 3: 4.3.1. Hedging Long Positions

Taken from our Series 3

4.3.1. Hedging Long Positions

Unlike speculative strategies, hedging strategies are generally made, not to increase income, but to reduce investment risk. We have seen how businesses that are long on inventory may hedge their price risk by shorting futures. Should prices drop, the profit from offsetting the futures contract would reduce or eliminate the losses in the spot market. Should prices rise, the spot market gains would likewise be absor

+ Read More

More Series 3 Info

What are people saying?

Create an Account

Since you're reading about Series 3: 4.3.1. Hedging Long Positions, you might also be interested in:

Series 27 - Department Decision

Series 14 - Exercise

Series 99 - 1.2.5.4.2 Proper Units for Transferring Bond Certificates

Series 53 - Variable Rate Securities

Series 53 - Depository Eligibility Registration: Issuers

Series 27 - Supervisory System

Series 66 - Other Important Risk Concepts

Series 24 - 4.1.4.3. Selected Dealers Agreement (Selling Group Agreement)

Series 50 - Compound Accreted Value

Series 79 - Damages

Please Enable Javascript
to view this content!

Site Login

TESTIMONIALS

What are people saying?

I initially studied using a different exam prep course (The Securities Institute of America). I waited until I consistently passed the practice exams with a score over 90% before I took the actual exam and unfortunately I failed the exam on my first attempt. I discovered and purchased the Solomon Exam Prep and immediately noticed the studying material was more in depth. I waited until my practice exam score was consistently over 85% and I went to take the actual exam and passed. Thank you so much!! (Series 3)

Joshua Turner, J.D. Turner Capital, LLC, Baltimore, MD

I would heartily recommend Solomon for anyone studying for the Series 3. The materials are comprehensive, the bank of questions vast and the responsiveness to questions incredibly impressive and detailed. I passed first time and that in no small part is down to Solomon.

David Woolfenden Totem London

Great service, practice questions and mock exams were the key to passing. (Series 3)

Darragh Lenihan, Global Commodities Holdings Limited. Singapore

I used the exam prep guide and online tests to study for the Series 50 exam. I relied completely on these study helps to prepare for the exam, which I passed!

Elizabeth Hill, Bright Bay Advisors, LLC, Long Beach, NY

I passed the Series 7 on my first attempt after using the Solomon study book and practice tests. The practice tests were crucial in understanding how the official exam would ask questions and greatly benefited me.

Jeff D, Securities America, La Vista, NE

I came into my studies with very little experience. With the amazing help and support from the Solomon Team I passed the SIE on my first attempt. I am extremely grateful for the study material that Solomon has provided. I am onto the 7 TO.

Wc Harbert, RBC. Eugene, OR