Search results for
Call Option Definition
A call option is an agreement that gives the option buyer the right to buy the underlying asset at a specified price within a specific time period.
When does one sell a put option, and when does one sell a call option?
An investor would sell a put option if her outlook on the underlying was bullish, and would sell a call option if her outlook on a specific asset was bearish.
When Is a Call Option in the Money?
Call options have intrinsic values, and a call option is in the money when the underlying stock price is above the strike price.
Interest Rate Call Option Definition
An interest rate derivative where the holder has the right to receive an interest payment based on a variable interest rate and, subsequently, pays a fixed interest rate.
What is the difference between a long position and a call option?
Learn what a long position in a stock is, what a call option is, and the difference between owning shares of a company and owning a call option on a stock.
A Forward Contract Differs From a Call Option
Forward contracts and call options are different financial instruments that allow two parties to purchase or sell assets.
Conditional Call Option
A conditional call option requires a bond's issuer to replace a bond with a non-callable bond, of similar value, if the bond is called before it matures.
Asset-Or-Nothing Call Option Definition
An asset-or-nothing call is derivative security for which there is no payoff unless the underlying asset's price exceeds the strike price.
Is it more advantageous to purchase a call or put option?
Learn the advantages of put and call options to choose the right side of the contract to meet your personal investment objectives.
Call Ratio Backspread Definition
The call ratio backspread is an option strategy that bullish investors use if they believe the underlying security or stock will rise by a significant amount. The strategy combines the purchases and sales of options to create a spread with limited loss potential and mixed profit potential.