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Combination annuity |
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Combination annuitySee: Hybrid annuityCombination annuity Similar MatchesCombinationCombinationApplies to derivative products. Arrangement of options involving two long or two short positions with different expiration dates or strike (exercise) prices. See: Straddle. CombinationCombinationA term used in options trading. It is a straddle using options with different exercise prices, where both the call and put options used are out of the money. Covered combinationCovered combinationA strategy in which one call and one put with the same expiration, but different strike prices, are written against each 100 shares of the underlying stock. Example: writing 1 XYZ Jun 50 call and 1 XYZ Jun 55 put, and buying 100 shares of XYZ stock. In actuality, this is not a fully 'covered' strategy because assignment on the short put would require purchase of additional stock. Ratio Calendar CombinationRatio Calendar CombinationA strategy consisting of a simultaneous position of a ratio calendar spread using "calls" and a similar position using puts, where the striking price of the "calls" is greater that the striking price of the "puts". Combination orderCombination orderSee: Alternative order Further SuggestionsCombination strategyBusiness combination Calendar Straddle or Combination Combination bond Combination matching |
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