Video lesson · Workplace English

What Does Hedge Mean at Work?

To hedge is to respond to uncertainty without claiming that the risk has disappeared. The meaning shifts with the situation.

What you’ll learn

Try it: “We are hedging against a launch delay by keeping the current campaign live.”

Read video transcript

What does hedge mean at work? To hedge is to reduce exposure, keep another option open, or qualify a claim when the outcome is uncertain.

Hedging is not the same as solving the problem. The risk, delay, or uncertainty is still there — a hedge just limits how much it can hurt you, or keeps a second option alive if things go wrong.

You'll hear hedge in three main business registers: in finance and risk, hedging exposure to currency or inflation; in strategy, hedging your bets by keeping more than one option open; and in communication, hedging a forecast or claim so it isn't overstated.

For example: Treasury is hedging our currency exposure before the euro contracts renew. The exposure hasn't disappeared — it's been offset.

Want more examples? Read the related guide.