# What is portfolio hedging?

Sometimes when the market is super volatile, it makes much more sense to hedge against huge drawdowns. The easiest way is to move some funds to stable coins.&#x20;

To do that Stoic provides you with an option to choose a hedge percentage by yourself.&#x20;

Note that sometimes Stoic can do hedging by its own algorithm. So, you can choose either to let Stoic do this thing for itself, and you can completely ignore this function, or to do hedging under your own opinion.
