Great time to buy, page-72

A lot to learn in this space.

Polar Bear's idea that short selling some of a funds holding in a company is a means of managing a cap on the maximum amount the fund is allowed to have invested in the company while avoiding change in holding disclosure has nothing to do with hedging and, in fact, wouldn't eliminate the legally required need for change in holding disclosure by a substantial holder. Using shorting, which is a tool designed to artificially add to the sell side, with the intent of smashing the share price of a company, and/or adding up to 82% to the sell side during a days trading, as a means of reducing the net number of shares the fund owns, is a sackable offence in my fund.

Real world hedging,

Armed with the knowledge that a lot of companies were bankrupted by margin calls when the commodity price unexpectedly rose after they used financial derivatives for hedging, I was keen to know what risks we as shareholders were being exposed to by hedging so I asked the question.

HGO shareholders can rest easy, the hedging HGO uses ,has absolutely nothing to do with financial derivatives and fixes the price in a risk free way at the spot price plus the futures contagion less a hedging margin of $250 /tonne of Cu