For example, if you are a company that uses soybeans to squeeze soybean oil, and you need to purchase soybeans, then you have to buy the soybean lock price for the next March in advance.

If the soybean price rises in the next March, because you bought it in advance, it is equivalent to making a virtual inventory with a lower price, which you can understand as a profit.

If the soybean price falls in the following March, it is equivalent to buying soybeans at a relatively high level. Then you can understand this situation as hedging losses, but it is better not to hedge.

Therefore, hedging can't be said to be 100% to make money. It just locks the future price in advance, which may be more favorable, but you don't want to gamble, so you can accept the current price, so the significance of hedging is positive and positive.