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Wednesday, January 21, 2009

Hedging

One fine morning two people who have been though a lot of bad and worse relationships were discussing their past and where things went wrong,one suggested a theory but the other never believed in, until yesterday when it hit her right in the face.

Hedging is a financial term used for a position established in one market in an attempt to offset exposure to the price risk of an equal but opposite obligation or position in another market — usually, but not always, in the context of one's commercial activity.

Hedging is a strategy designed to minimize exposure to risks as a sharp contraction in demand for one's inventory, while still allowing the business to profit from producing and maintaining that inventory.

"Speculation in the basis" where the basis is the difference between today's market value of this relationship and today's value of the hedge (ex or next). If that difference widens favouring the latter, he earns a good relationship after a break up. If that difference narrows, he earns a little less satisfying but consoling relationship.

He has mitigated, but not eliminated, the risk of losing the relationship from the day he established his hedge.

Most of the people hedge their relationships while they are already in one, either by continuing to talk to their ex's or by continuing to flirt with their so – called friends.

If you are with someone, then instead of trusting her and giving her the chance of being the one for you, you keep your options open, because you are not too sure. If you are not now, you never will be is what I think.

You don't think of getting married on the very first date. Come on, let's admit there is nothing liked self proclaimed Love at First Sight, but if you are with someone, then she should be the one for that particular moment. Playing with someone's emotions because you are not too sure is not the right thing to do and nobody gave you that right.

Whatever happens in the end, honey I will live with or without you, like I have said before. It's not that I can't live without you it's just I don't want too, but now I have been left with no choice.