|
|
Bull spread |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
Bull spreadA spread strategy in which an investor buys an out-of-the-money put option, financing it by selling an out-of-the money call option on the same underlying security.Bull spreadA strategy in options trading in which an option is purchased at an exercise price below that of the underlying instrument and simultaneously an option is sold at an exercise price above that of the underlying instrument, both with reference to the same expiry month. This applies to both call options or put options.Similar MatchesCrack spreadCrack spreadA type of commodity-product spread involving the purchase of crude oil futures and the sale of gasoline and heating oil futures. Bid/ask spreadBid/ask spreadThe difference between the price that a buyer must pay on a market and the price that a seller will receive for the same thing. The difference covers the cost of, and provides profit for, the broker or other intermediary, such as a bank on the foreign exchange market. Spread incomeSpread incomeAlso called margin income, the difference between income and cost. For a depository institution, the difference between the assets it invests in (loans and securities) and the cost of its funds (deposits and other sources). TED spreadTED spreadDifference between US Treasury bill rate and Eurodollar rate; used by some traders as a measure of investor/trader anxiety or credit quality. Underwriting spreadUnderwriting spreadThe income that is generated by the underwriting syndicate and the selling group, which is essentially the difference between the amount paid to the issuer of securities in a primary distribution and the public offering price. Further SuggestionsbackspreadIntercommodity spread condor spread Bid asked spread Spread NOB spread Selling the spread Yield spread strategies put spread Delta Spread bear call spread Calendar spread calendar spread Time spread strategy bear put spread Mob spread Horizontal spread box spread Box spread Perpendicular spread Debit spread call spread Yield spread debit spread Butterfly spread |
|
|
|