underhedged

comparative more underhedged · superlative most underhedged

1. businessOn a hedged a transaction, having too much cash flow committed to rated note debt coverage, leaving too little available for the income notes.

   1 more example

   Instead, it was a collective failure of the governing five-man executive committee that over the years became so fixated on increasing the firm’s book value — and expecting the stock price to follow — that it lost sight of the concentrated, underhedged exposure to the home mortgage market that left Bear vulnerable.

   2008 May 7, Landon Thomas Jr., “Quarrel Erupts Between Bear’s Elder Statesmen”, in New York Times