Dividend futures can be used by investors for investment, hedging or arbitrage. Credit default swaps can be used by investors for speculation, hedging and arbitrage. There are many types of Financial Instruments used for saving, investing, trading, hedging and speculating. There are cases of equity hedging with index futures. This approach addresses certain problems identified with hedging under local volatility. Bhaduri, Meissner and Youn discuss five derivatives created specifically for hedging liquidity risk. Alternative investments which incorporate advanced techniques such as hedging known as "liquid alternatives". Some trades are initiated by complex algorithms for hedging purposes. The firm invests in the American public equity and hedging markets. Exotic options can pose challenging problems in valuation and hedging. Hedging risk is not limited to banks as lenders. Others define speculation more narrowly as positions not characterized as hedging. It was simply hedging its bets, avoiding favouring one side or the other. Other measures to avoid punishing hedging (a form of insurance for cashflows) were also proposed. Organisms using this form of bet hedging make these predictions and select strategies annually.