Evening Up


DEFINITION of 'Evening Up'

A slang phrase used to describe an investor who closes a position by making an offsetting transaction. An investor will eliminate his or her exposure to a security's risk by evening up.

Also referred to as "even up."


Evening up in the equity market involves selling a stock that one currently holds, or buying to cover a short position. In the context of futures, one would even up by entering an opposite position in the contract.

An investor could tell his or her broker to "even up" a current position. Alternatively, one could say "I avoided the price drop by evening up early."

  1. Offsetting Transaction

    In trading, an activity that exactly cancels the risks and benefits ...
  2. Short (or Short Position)

    A short position is the sale of a borrowed security, commodity ...
  3. Position

    The amount of a security either owned (which constitutes a long ...
  4. Long (or Long Position)

    1. The buying of a security such as a stock, commodity or currency, ...
  5. Offset

    1. To liquidate a futures position by entering an equivalent, ...
  6. Futures Contract

    A contractual agreement, generally made on the trading floor ...
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