An investor looking at reducing his risk is known as .

Question

Quizplus · Accepted Answer

A hedger is someone who engages in a financial transaction to reduce or eliminate risk, often by taking an offsetting position in a related security. This is in contrast to a speculator, who takes on risk in the hope of making a profit. Arbitrageurs seek to profit from price discrepancies between markets without taking on risk, and traders can be speculators, hedgers, or arbitrageurs, depending on their strategy.

An Investor Looking at Reducing His Risk Is Known as