Box Spread

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Dictionary Says

Definition of 'Box Spread'

A dual option position involving a bull and bear spread with identical expiry dates. This investment strategy provides for minimal risk. Additionally, it can lead to an arbitrage position as an investor attempts to lock in a small return at expiry.
Investopedia Says

Investopedia explains 'Box Spread'

A box spread is a complicated strategy for the more advanced options trader. The purpose of this investment is to locate and exploit the discrepancies within the market prices of option contracts.

Directory (Option Strategy)

  1. Alligator Spread

    An unprofitable ...
  2. Atlantic Spread

    An options ...
  3. Back Fee

    A payment ...

  4. Backspread

    A type of ...
  5. Bailard, Biehl And Kaiser Five-Way Model

    A model of five ...
  6. Bear Call Spread

    A type of ...
  7. Bear Put Spread

    A type of ...
  8. Bear Spread

    1. An option ...
  9. Bear Straddle

    A speculative ...
  10. Box Spread

    A dual option ...
  11. Bull Call Spread

    An options ...
  12. Bull Put Spread

    A type of ...
  13. Bull Spread

    An option ...
  14. Bullet Trade

    The act of ...
  15. Butterfly Spread

    A neutral option ...
  16. Buy A Spread

    Option strategy ...
  17. Calendar Spread

    An options or ...
  18. Call Ratio Backspread

    A very bullish ...
  19. Collar

    1. A protective ...
  20. Collar Agreement

    An arrangement ...
  21. Condor Spread

    Similar to a ...
  22. Contingent Order

    1. An order ...
  23. Conversion Arbitrage

    An options ...
  24. Covered Call

    An options ...
  25. Covered Combination

    An ...
  26. Covered Straddle

    An option ...
  27. Credit Spread

    1. The spread ...
  28. Death Put

    An optional ...
  29. Debit Spread

    Two options with ...
  30. Delta Hedging

    An options ...
  31. Delta Neutral

    A portfolio ...
  32. Delta Spread

    An options ...
  33. Diagonal Spread

    An options ...
  34. Dividend Arbitrage

    An options ...
  35. Double One-Touch Option

    A type of exotic ...
  36. Fence (Options)

    A fence or ...

  37. Fiduciary Call

    A cost effective ...
  38. Fixed Dollar Value Collar

    A floor and ...

  39. FMAN

    One of the three ...
  40. Forex Hedge

    ...
  41. Forex Option & Currency Trading Options

    ...
  42. Form 6781: Gains And Losses From ...

    A tax form ...

  43. Front Fee

    The option ...
  44. Gut Spread

    An option ...
  45. Heston Model

    A type of ...

  46. Horizontal Spread

    An options ...
  47. Implied Volatility - IV

    The estimated ...
  48. Interest Rate Collar

    An investment ...
  49. Iron Butterfly

    An options ...
  50. Iron Condor

    An advanced ...
  51. Leg

    1. Term ...
  52. Leg Out

    One side of a ...
  53. Long Jelly Roll

    An option ...
  54. Long Leg

    The part of ...

  55. Long Put

    An options ...
  56. Long Straddle

    A strategy of ...
  57. Long-Term Equity Anticipation ...

    Publicly traded ...
  58. Married Put

    An option ...
  59. Modidor

    An options ...

  60. Multi Index Option

    A type of ...

  61. Multi-Leg Options Order

    A type of order ...
  62. Naked Call

    An options ...
  63. Naked Put

    A put option ...
  64. Negative Butterfly

    A non-parallel ...
  65. Net Option Premium

    The net amount ...
  66. Neutral

    1) A term that ...
  67. Option Premium

    1. The income ...
  68. Outright Option

    An option that ...
  69. Overwrite

    A type of ...
  70. Overwriting

    An options ...

  71. Positive Butterfly

    A ...
  72. Protective Put

    A ...

  73. Put

    An option ...
  74. Put Calendar

    An option ...
  75. Put Ratio Backspread

    An option ...

  76. Ratio Call Write

    An option ...
  77. Ratio Spread

    An options ...
  78. Reverse Calendar Spread

    An options or ...
  79. Reverse Conversion

    A finance and ...
  80. Risk Reversal

    1. ...
  81. Roll Down

    The replacement ...
  82. Roll Forward

    To extend the ...
  83. Roll Up

    The move from ...

  84. Seagull Option

    A three-legged ...
  85. Sell To Open

    A phrase used by ...
  86. Series 4

    A securities ...
  87. Short Leg

    Any contract in ...
  88. Short Straddle

    An options ...
  89. Straddle

    An options ...
  90. Strangle

    An options ...
  91. Swing Option

    A type of ...

  92. Synthetic Dividend

    A type of ...
  93. Variable Ratio Write

    An option ...
  94. VIX Option

    A type of ...
  95. Writing An Option

    The ...

  96. Zero Cost Collar

    A type of ...
  97. Zomma

    An options greek ...

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Related Definitions

  1. Arbitrage

    The simultaneous ...
  2. Bear Spread

    1. An option ...
  3. Bull Spread

    An option ...
  4. Volatility

    1. A statistical ...
  5. Risk Capital

    Investment funds ...
  6. Price Risk

    The risk of a ...
  7. Cum Rights

    A shareholder of ...
  8. Security

    A financial ...
  9. Futures

    A financial ...
  10. Geometric Mean

    The average of a ...

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