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underlying premium

См. также в других словарях:

  • Premium Income — 1. In investing, income that is earned through the sale of an option. The writer of an option earns premium income; the buyer of the option pays the writer a premium in order to have the right (but not the obligation) to exercise the option at a… …   Investment dictionary

  • Underlying Retention — The net amount of risk or liability arising from an insurance policy (or policies) that is retained by a ceding company after reinsuring the balance amount of the risk or liability. The degree of underlying retention will vary depending on the… …   Investment dictionary

  • Option Premium — 1. The income received by an investor who sells or writes an option contract to another party. 2. The current price of any specific option contract that has yet to expire. For stock options, the premium is quoted as a dollar amount per share and… …   Investment dictionary

  • conversion premium — A convertible s conversion premium is the amount by which a convertible s market price exceeds its value in stock. The premium may be expressed as the dollar difference or as a percentage. American Banker Glossary The extent by which the… …   Financial and business terms

  • Step Premium — A type of option where the cost of purchasing the option is paid gradually as the strike approaches instead of when the trade is initiated. The options contract spells out how much premium must be paid and when. A step premium option is more… …   Investment dictionary

  • Time premium — Also called time value, the amount by which the option price exceeds its intrinsic value. The value of an option beyond its current exercise value representing the optionholder s control until expiration, the risk of the underlying asset, and the …   Financial and business terms

  • time premium — Also called time value, the amount by which an option price exceeds its intrinsic value ( intrinsic value of an option). The value of an option beyond its current exercise value representing the optionholder s control until expiration, the risk… …   Financial and business terms

  • Call option — This article is about financial options. For call options in general, see Option (law). A call option, often simply labeled a call , is a financial contract between two parties, the buyer and the seller of this type of option.[1] The buyer of the …   Wikipedia

  • Credit default swap — If the reference bond performs without default, the protection buyer pays quarterly payments to the seller until maturity …   Wikipedia

  • Option (finance) — Stock option redirects here. For the employee incentive, see Employee stock option. Financial markets Public market Exchange Securities Bond market Fixed income …   Wikipedia

  • Valuation of options — Further information: Option: Model implementation In finance, a price (premium) is paid or received for purchasing or selling options. This price can be split into two components. These are: Intrinsic Value Time Value Contents 1 Intrinsic Value 2 …   Wikipedia

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