Besides maintaining the portfolio liquidity, it creates an opportunity as well as hedge portfolio in adverse times. (vipinkhandelwal.com)
Or, if a pension fund has future liabilities, then it is only responsible for hedging the portfolio against catastrophic loss. (investopedia.com)
Portfolio Insurance is a method of hedging a portfolio of stocks against the market risk by short selling stock index futures. (worststockmarketcrashes.com)