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Down and out option |
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Down and out optionBarrier option that expires if asset price hits a predetermined price level.Down and out option Similar MatchesTax deferral optionTax deferral optionAllowing the capital gains tax on an asset to be payable only when the gain is realized by selling the asset. Option spreadOption spreadThe trading of options of the same class at the same time in order to profit from changes in the size of the spread between different options. Option writerOption writerThe initial 'seller' of an option. He has to fulfil the terms of the option contract if the holder choose to exercise it. So if the holder exercises a call option to buy some shares, the option writer has to deliver the shares. Note that the option writer has an obligation, but no rights. It is not up to him whether the option is exercised. Index and Option Market (IOM)Index and Option Market (IOM)A division of the CME established in 1982 for trading stock index products and options. Option premiumOption premiumThe 'price' of the option, paid by the buyer. Further SuggestionsStock index optionChicago Board Options Exchange (CBOE) Transferable Stock Options Asian option Optional dividend Listed option Real option Settlement options Switching options Covered or hedge option strategies Registered options trader Margin requirement (options) American style option Single option Physical option Option writer Index option In the money option Lapsed option Option series Option premium One-way option index options European option share option |
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