Category: Business
Created by: exmagro
Number of Blossarys: 1
A technical term used with financial derivatives instruments. A derivative contract such as options swaps futures, is a financial instrument that bases (derives) its value from a different asset ...
Term used to describe a financial contract in the derivatives market. A call option gives the holder (purchaser of the option) the right to purchase the underlying asset for a specified price (strike ...
Technical term used in the financial derivatives market. A strike price is an agreed-upon price by two parties at which to exchange an underlying financial asset in the future.
A financial term used in the derivatives market. The expiration date is a date specified in a financial contract beyond which the financial contract ceases validity. The financial instrument will be ...
A financial term used in the derivatives market. The premium represents the price paid to own the option contract. It is a compensation paid upfront to the writer of the option in case the holder ...
A financial term used in the derivatives market. An American option is an option contract that allows the holder of the option to purchase/sell the option's underlying asset on or before the expiry ...
A financial term used in the derivatives market. A put option gives its holder the right to sell an asset for a specified price (strike price) on or before a specified expiration date to the put ...