Meaning OUT-OF-THE-MONEY OPTION: A call option is out of the money if the strike price is greater than the market price of the underlying security. That is, you have the right to purchase a security at a price higher than the market price, which is not valuable. A put option is out of the money if the strike price is lower than the market price of the underlying security
More terms such as Out-of-the-money option in Dictionary O.
- Definition Open Repo:
- Examples agreement with no definite term. The agreement is made on a day-to-day basis, and either the borrower or the lender may choose to terminate. The rate paid is higher than on overnight repo and is out-of-the-money option definition.
- Definition Originator:
- Examples loan, or mortgage banker that initially made a mortgage loan that is part of a pool. Also, an investment bank that has worked with the issuer of a new securities offering from the beginning and is out-of-the-money option explain.
- Definition Open (Good-Till-Cancelled) Order (GTC Order):
- Examples Order to buy or sell a security that stays active until it is completed or the investor cancels it out-of-the-money option what is.
- Definition Overall Market Price Coverage:
- Examples intangibles divided by the total of the market value of the security issue and the book value of liabilities and issues having a prior claim. This is used to determine how much of the market value of out-of-the-money option meaning.
- Definition Overnight Position:
- Examples A broker-dealer's position in a security at the end of a trading day out-of-the-money option abbreviation.
