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hello and welcome to the session in which we would look at the topic of hedging now in this session were going to explain hedging by itself were not going to do accounting so in in this session were not going to do any accounting just were going to explain the various types of hedging in the next session well do the accounting well do the debits and the credits and how to account for hedging because were going to have different type of Hedges so well discuss this after we understand what is hedging because understanding whats hedging will help you understand the accounting part of it so what is hedging basically hedging if you really think about it hedging is basically protecting protecting hedging mean hedging your bet protecting your bet protecting what you have protecting your risk okay what risk well business could face different types of risks okay and were going to summarize them into three risks just to kind of give you an idea business are exposed to Market risks from