> For the complete documentation index, see [llms.txt](https://docs.synatra.xyz/synthetic-staking/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.synatra.xyz/synthetic-staking/how-does-this-generate-yield/hedged-carry-trade.md).

# Hedged Carry Trade

A hedged carry trade involves longing a yielding asset while hedging through the shorting of another asset. The goal is to capture yield while keeping the target exposure of the underlying asset in the pool.

An example of hedge carry trade is leverage longing a liquid staking token (LST) or SOL like INF while shorting an equivalent amount of SOL on a futures or lending market.
