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Abandonment

An action that is taken by an investor or trader whereby he/ she chooses not to exercise or offset a…

Arbitrage

A trading tactic in which an asset is bought at a low price on one market and then is immediately…

Artificial Options Activity

The trading of options that is meant to “artificially” induce intensive trading using options volume trading and open interest, among…

American-Style Option

An option that can be exercised at any time before, and including, expiration date. This type of options provides investors…

American Parisian Option

A Parisian option which gives the holder the right to exercise during the whole life span of the option, including...

Bull Put

An alternative name for a bull put spread which is an option strategy whereby a number of put options are...

Collect On Delivery

An option contract for which no premium is paid upfront by the buyer. However, a prespecified premium should be paid...

Cash On Delivery

An option contract for which no premium is paid upfront by the buyer. However, a prespecified premium should be paid...

Put Warrant

A warrant that a company writes on its own common stock, giving the buyer/holder the right to sell the company’s…

Spring Loading

The practice of granting options (employee or executive stock options– ESOs) just before the announcement of key information that is…