Hedging itself is the process of buying or selling financial instruments to offset or balance your current positions, and in doing so reduce the risk of your losses.

consideration or amount that diminishes or balances the effect of an opposite one. Balance, balance out, counterbalance, equalize, neutralize.

Definition. Offset generally means a reduction, typically by reducing an amount due to be paid out by an amount owed.

In such a case, the federal refund one would have received is used to pay, or offset, all or a portion of a state income tax debt.

to balance one influence against an opposing influence, so that there is no great.  The definition of an offset is something that is used to balance something else.

offsetting balance – a minimum credit balance that a bank may require a borrower to keep on deposit as a condition for granting a loan; a common requirement for establishing a line of credit at a bank;

“the compensating balance increases the effective interest rate to the bank since the net amount loaned is reduced.

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