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 Glossary   >   B   >   "Basis risk" Definition   

        Basis risk

The uncertainty about the basis at the time a hedge may be lifted. Hedging substitutes basis risk for price risk.

Basis risk


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Basis risk - The uncertainty about the basis at the time a hedge may be lifted. Hedging substitutes basis risk for price risk.


Basis risk : the uncertainty about the basis at the time a hedge may be lifted. hedging substitutes basis risk for price risk.