What is Ratio de couverture?
In this glossary, Ratio de couverture refers to: The proportion of a position that is hedged via derivative instruments, calculated as the value of the hedging instrument divided by the value of the underlying exposure. Used to minimize portfolio risk.
How is Ratio de couverture used in finance?
In finance communication, this term appears in contexts such as: "Les gérants de portefeuille calculent le ratio de couverture pour déterminer le nombre de contrats à terme nécessaires pour se protéger contre des mouvements de prix défavorables."
Why does Ratio de couverture matter in finance?
Ratio de couverture matters because it supports clear communication in Investment contexts for Financial Analysts, Bankers, and Traders. It also connects to aviation training and exam language such as CFA, ACCA, and FRM.
Who uses Ratio de couverture?
Ratio de couverture is mainly used by Financial Analysts, Bankers, and Traders.
What category does Ratio de couverture belong to?
In this glossary, Ratio de couverture is grouped under Investment. Related pages in this category explain adjacent procedures, commands and operational concepts.
Where does this definition come from?
This definition is sourced from CFA Institute, IFRS Foundation, FASB (GAAP), Basel III Framework and published by Protermify Finance as a static finance reference page.
