- ratio spread
- Constructed with either puts or calls, the strategy consists of buying a certain amount of options and then selling a larger quantity of more out-of-the-money options. Bloomberg Financial Dictionary
Financial and business terms. 2012.
ratio spread
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Ratio spread — The ratio spread is a strategy in options trading that involves buying some number of options and selling a larger number of other options of the same underlying market and (usually) the same expiration date, but of a different strike price.… … Wikipedia
Ratio Spread — An options strategy in which an investor simultaneously holds an unequal number of long and short positions. A commonly used ratio is two short options for every option purchased. A ratio spread would be achieved by purchasing one call option… … Investment dictionary
Options spread — Spread option redirects here. For the American football offensive scheme, see Spread offense. Options spreads are the basic building blocks of many options trading strategies. A spread position is entered by buying and selling equal number of… … Wikipedia
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ratio calendar combination — A strategy consisting of a simultaneous position of a ratio calendar spread using calls and a similar position using puts, where the striking price of the calls is greater that the striking price of the puts . Bloomberg Financial Dictionary … Financial and business terms
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spread spectrum communications — The process of modulating a signal over a significantly larger bandwidth than is necessary for the given data rate for the purpose of lowering the bit error rate (BER) in the presence of strong interference signals (i.e., low signal to noise… … IT glossary of terms, acronyms and abbreviations
Debit spread — In finance, a debit spread, AKA net debit spread, results when an investor simultaneously buys an option with a higher premium and sells an option with a lower premium. The investor is said to be a net buyer and expects the premiums of the two… … Wikipedia
delta spread — A ratio spread that is established as a neutral position by utilizing the deltas of the options involved. The neutral ratio is determined by dividing the delta of the purchased option by the delta of the written option. See also ratio spread and… … Financial and business terms
Credit spread (options) — Finance Financial markets Bond market … Wikipedia
