Option writer


 

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Option writer

The 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.

Option writer

See: Option seller



Option writer

Similar Matches

Indexed Stock Options

Indexed Stock Options

Options that have an exercise price which may fluctuate above or below market value at performance options in that the exercise price of indexed options typically remains variable until the option is exercised.


Foreign currency option

Foreign currency option

An option that conveys the right (but not the obligation) to buy or sell a specified amount of foreign currency at a specified price within a specified time period.


Reload Stock Option

Reload Stock Option

A ../../finance-glossary/ment stock option granted by some companies to optionees upon a stock swap. The number of reload shares granted is equal to the number of shares delivered to exercise the option plus, in some cases, any shares withheld for tax withholding obligations. The exercise price of the new option is the current market price. The option generally expires on the same date that the original option would have.


Result of exercising option

Result of exercising option

A term used by the London Stock Exchange to denote that a transaction was reported as a result of exercising a traditional option or a negotiated option.


Abandoned option

Abandoned option

Where an option is neither sold nor exercised but allowed to lapse at expiry.


Further Suggestions

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Tax timing option
London International Financial Futures and Options Exchange
Call an option
Over the Counter Option
Compound option
FLEX Options
Call option
Margin requirement (options)
Settlement options
Registered options trader
Bargain purchase price option
Lease With Option To Purchase
American style option
Abandonment option
Put an option
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Quality option
Binomial option pricing model
Index and Option Market (IOM)
Transferable Stock Options
European style option
Asian option
Class of Options
Reduction Option Loan (ROL)


 
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