Currently, a new economic term has emerged: 'risk hedging.' So what is risk hedging?

An elderly lady enters a bank with a backpack containing 500,000 USD, and the president personally meets her in the VIP room.

President: 'Is this your life savings?'

Elderly lady: 'Not at all! I live by gambling; I always win, just won this!'

President: 'Impossible!'

Elderly lady: 'If you don't believe me, let's make a bet. By tomorrow morning, a triangular birthmark will appear on your backside, and the wager is this 500,000!'

The president, filled with doubt, looks at the bag of cash and decides to take the bet. After the elderly lady leaves, the president checks his backside in the mirror several times and sees no birthmark, until the agreed time the next day when he returns to the VIP room.

The elderly lady arrives early, accompanied by a well-dressed lawyer.

Elderly lady: 'Today, the lawyer will witness and check your backside.'

President: 'There really is no birthmark, let alone a triangular one.' He then takes off his pants for them to check his backside...

The elderly lady looks: 'Sure enough, there’s nothing. I lost.'

At this moment, the lawyer's face turns pale as he repeatedly bangs his head against the wall.

Lawyer: 'She just bet me 1 million USD, claiming she could make a bank president take off his pants in front of me so I could see his backside!'

This is risk hedging!

A smart elderly lady who understands economics!

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