The best way, which has been illustrated by myself and steve UK is to first wrap the ends of the hose with electrical tape. 4 layers should be enough, depending on how tough the hose is (more for tougher hose). After this, simply cut with a dremel and it will go right through, leaving a clean, unfrayed end, which is essential to hold in place properly. Although I have not tried it, you can likely use the conventional method of the blade or cutter, though I won't endorse it because the corners of the folds tend to deform the braiding.
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