Definition of "hedge" []

• A row of closely planted shrubs or low-growing trees forming a fence or boundary. (noun)
• A line of people or objects forming a barrier: a hedge of spectators along the sidewalk. (noun)
• A means of protection or defense, especially against financial loss: a hedge against inflation. (noun)
• A securities transaction that reduces the risk on an existing investment position. (noun)
• An intentionally noncommittal or ambiguous statement. (noun)

American Heritage(R) Dictionary of the English Language, Fifth Edition. Copyright (c) 2011 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

• "I readily concede that I am using the term hedge fund loosely."
• "I use the term hedge because she is not a witch in the sense of owning a grimoire, casting spells in a cauldron or brewing potions."
• "With the proliferation of highly regulated mutual funds, the term hedge fund today only means a fund that is not registered under the Investment Company Act -- and can thus do things the former cannot, such as leverage itself, concentrate positions, or buy illiquid securities."