Options contract

Options contract
A contract that, in exchange for the option price, gives the option buyer the right, but not the obligation, to buy (or sell) a financial asset at the exercise price from (or to) the option seller within a specified time period, or on a specified date ( expiration date). The New York Times Financial Glossary

* * *

* * *

options contract UK US noun [C] FINANCE, STOCK MARKET
the written legal agreement that gives someone the right to buy something such as shares at a later date or within a period of time at a particular price: »

Every options contract has a buyer who is referred to as the option holder.


Financial and business terms. 2012.

Игры ⚽ Нужно решить контрольную?

Look at other dictionaries:

  • options contract — A contract that, in exchange for the option price, gives the option buyer the right, but not the obligation, to buy (or sell) a financial asset at the exercise price from (or to) the option seller within a specified time period, or on a specified …   Financial and business terms

  • Options Contract — One options contract represents one hundred shares in the underlying stock. The quoted price of an option is per share. The quoted price of a stock option must be multiplied by 100 to get the cost per contract …   Investment dictionary

  • Options contract multiple — A constant, set at $100, which when multiplied by the cash index value gives the dollar value of the stock index underlying an option. That is, dollar value of the underlying stock index = cash index value x $100 (the options contract multiple).… …   Financial and business terms

  • options contract multiple — A constant, set at $100, that when multiplied by the cash index value gives the dollar value of the stock index underlying an option. That is the dollar value of the underlying stock index = Cash index value x $100 (the options contract multiple) …   Financial and business terms

  • contract — a legally binding agreement between two or more parties. Glossary of Business Terms A legally enforceable agreement between two or more parties for performing, or refraining from performing, some specified act; e.g., delivering 5,000 bushels of… …   Financial and business terms

  • Contract — A term of reference describing a unit of trading for a financial or commodity future. Also, the actual bilateral agreement between the buyer and seller of a transaction as defined by an exchange. The New York Times Financial Glossary * * * ▪ I.… …   Financial and business terms

  • Contract Unit — The actual amount of the underlying asset represented by a single futures or derivatives contract. The underlying asset could be anything that is traded on a futures exchange, from agricultural commodities and metals to currencies and interest… …   Investment dictionary

  • contract specification — The legal document produced by the relevant exchange that sets out the details of a future or options contract, e.g. trading times, delivery procedures, quantities of underlying per one contract etc. The use of contract specifications leads to… …   Financial and business terms

  • Options Market France — (OMF) is a futures exchange and clearing house. In November 1987 Options Market France started publishing in association with the French bank CCF now HSBC France a stock index using the Reuters network under the symbol EFX 50. The index was… …   Wikipedia

  • Options backdating — is the practice of issuing options contracts on a later date than that which the options have listed. While options backdating is not, in and of itself, an illegal practice,[1] intentional backdating that coincides with low underlying stock… …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”