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Exercise price |
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Exercise priceThe price at which an option or warrant holder can buy or sell the underlying instrument (for example, shares, an index, commodities etc). Also known as the strike price.The price at which a new issue of shares is sold to investors where the issue has taken place as a tender offer. The exercise price is calculated as the maximum price at which all the shares being issued can be sold, bearing in mind the bids put in by investors.Similar MatchesEuropean style exerciseEuropean style exerciseA method of exercising options contracts in which the buyer can exercise the contract on the last day before expiration. Exercise valueExercise valueThe amount of advantage over a current market transaction provided by an in-the-money option. ExerciseExerciseWhen an option or warrant holder takes up his or her option to buy or sell the underlying instrument (for example shares, commodities, an index etc) he/she is said to exercise the option or warrant. Nominal exercise priceNominal exercise priceThe exercise price of a GNMA option contract, which equals the unpaid principal balance multiplied by the adjusted exercise price. Exercise noticeExercise noticeA formal notice to the writer of an option from a clearing house that an option has been exercised by an option holder and that the writer is obliged to buy/sell the underlying instrument at the exercise price to meet his/her obligations. Further SuggestionsAggregate exercise priceReturn if Exercised Automatic exercise Exercise settlement amount European Exercise early exercise Adjusted exercise price |
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