We study a quadratic hedging problem for a sequence of contingent claims with random weights in discrete time. We obtain the explicit optimal hedging strategy  in a recursive representation, without imposing the nondegeneracy condition on the model and square integrability on hedging strategies. We relate the  results to hedging under random horizon and fair pricing in the quadratic sense  .
We study a quadratic hedging problem for a sequence of contingent claims with random weights in discrete time. We obtain the optimal hedging strategy explicitly in a recursive representation, without imposing the non-degeneracy (ND) condition on the model and square integrability on hedging strategies. We relate the general results to hedging under random horizon and fair pricing in the quadratic sense . We illustrate the significance of our results in an example in which the ND condition fails .
D
explicit
A
explicitly
R
nondegeneracy
non-degeneracy (ND)
A
general
A
. We illustrate the significance of our results in an example in which the ND condition fails