- time value premium
- The amount by which an option's total premium exceeds its intrinsic value. Bloomberg Financial Dictionary
Financial and business terms. 2012.
time value premium
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time value — The amount of money option buyer are willing to pay for an option in the anticipation that, over time, a change in the underlying futures price will cause the option to increase in value. In general, an option premium is the sum of time value and … Financial and business terms
Time value of an option — The portion of an option s premium that is based on the amount of time remaining until the expiration date of the option contract, and that the underlying components that determine the value of the option may change during that time. Time value… … Financial and business terms
time value of an option — The portion of an option s premium that is based on the amount of time remaining until the expiration date of the options contract, and the idea that the underlying components that determine the value of the option may change during that time.… … Financial and business terms
Time Value — The portion of the option premium that is attributable to the amount of time remaining until the expiration of the option contract. Basically, time value is the value the option has in addition to its intrinsic value … Investment dictionary
Option time value — Finance Financial markets Bond market … Wikipedia
premium — consideration paid for an insurance policy. Glossary of Business Terms (1) The additional payment allowed by exchange regulation for delivery of higher than required standards or grades of a commodity against a futures contract. (2) In speaking… … Financial and business terms
Premium — (1) Amount paid for a bond above the par value. (2) The price of an option contract; also, in futures trading, the amount the futures price exceeds the price of the spot commodity. Related: inverted market premium payback period. Also called… … Financial and business terms
Time preference — In economics, time preference (or discounting ) pertains to how large a premium a consumer will place on enjoyment nearer in time over more remote enjoyment.There is no absolute distinction that separates high and low time preference, only… … Wikipedia
Premium — 1. The total cost of an option. 2. The difference between the higher price paid for a fixed income security and the security s face amount at issue. 3. The specified amount of payment required periodically by an insurer to provide coverage under… … Investment dictionary
premium — 1) The consideration payable for a contract of insurance or life assurance. 2) An amount in excess of the nominal value of a share, bond, or other security. 3) An amount in excess of the issue price of a share or other security. When dealings… … Big dictionary of business and management
