At the Money Options
At the Money Options
What is meant by at the money?
There are three words that are used to characterize the connection between the ...
Posts by Urvi Surti
15
Feb
Small-Cap Stocks
Small-Cap Stocks
Stocks are categorized on the basis of their market capitalization. The market capitalization of a company is a produ...
01
Feb
Synthetic Cash
Synthetic Cash
An instrument that is tailored to mimic other financial instruments used in investment options is called Synthetic Ca...
18
Jan
Compound Options
Compound Options (Words<500)
A compound option is an option on another option. A split-free or compound option is an option for wh...
04
Jan
Effective Duration
Effective Duration (Words <500)
The duration calculation for bonds that have embedded options is known as effective duration. It he...
29
Dec
Basis Point Value
Basis Point Value
Basis points represent a unit employed to measure interest rates and other financial percentages. A basis point equa...
21
Dec
Chooser Option
Chooser Option
An option contract that allows the holder to decide the nature of the option i.e., whether the option is a call or put ...
15
Dec
Downside Risk
Downside Risk
Risk is the uncertainty of losing money invested in a security. To measure the risk or volatility of security we use Sta...
07
Dec
Hedge Ratio
Hedge Ratio
The ratio of exposure to a hedging instrument to the value of the hedged asset is called a hedge ratio. It compares the va...
25
Nov
Debt Covenant
Debt Covenant
The restrictions imposed by the lenders on the borrowers are known as debt covenant. It is a formal agreement or promises...