- at-the-money
- An option is at-the-money when its strike price is equal, or approximately equal, to the current market price of the underlying futures contract. The CENTER ONLINE Futures Glossary————The situation in which the current market price, the spot price, of an underlying instrument is equal to the strike or exercise price of an option to buy or sell that instrument. American Banker Glossary————An option is at the money if the strike price of the option is equal to the market price of the underlying security. For example, if xyz stock is trading at 54, then the xyz 54 option is at the money. Bloomberg Financial Dictionary————An option with a strike price equal to the underlying futures price. Chicago Mercantile Exchange Glossary————An option or warrant where the exercise price is equal to the current market price of the asset subject to the option. For example, a call option with an exercise price of 100p on a share with a share price of 100p is at-the-money. More generally, however, an at-the-money option is an option whose exercise price is nearest to that of the underlying asset. For example, where an option has strike prices at intervals of 10p, e.g. 90p, 100p, 110p etc, if the underlying asset has a price of 97p, the at-the-money option is the 100p strike, which is the nearest strike price to the underlying price. Dresdner Kleinwort Wasserstein financial glossarySee also in-the-money and out-of-the-money. Dresdner Kleinwort Wasserstein financial glossary————An option whose strike/exercise price is equal to or near the current price of the underlying instrument. Exchange Handbook Glossary————A covered warrant is At-the-Money when the strike price is the same, or very close to, the price of the underlying. It applies to both calls and put warrants. London Stock Exchange Glossary
Financial and business terms. 2012.
