The Hedge Is Just an Insurance Policy

The only reason for anybody to have either a hedge or some other way to defend against losses is because they can't hold the stock. And if you people I tell people if you wanted to just make the most money you would hold an unhedge 100% stock portfolio. It would give you the highest return, but you have to be able to hold on to it. So hedging is one way and then you there's a cost. A hedge is like an insurance policy. You know it tracks a little from the return over time.