Related Words

Asian Option: Option based on the average price of the underlying assets during the life of the option.

Option Margin: The margin requirement for options described in Regulation T and in brokers' individual policies.

Option Mutual Fund: A mutual fund that buys and sells options for aggressive or conservative investment.

Option Not To Deliver: In the mortgage pipeline, an additional hedge placed in tandem with the forward or substitute sale.

Option Offense: An offense heavily relying upon the option run and variations thereof.

Option Listing: A listing in which the broker also retains an option to purchase the property for the brokers own account. In view of the body of litigation involving breach of fiduciary duties by brokers w . . . View Full Definition

Option Holder: A person who has an option that has not been exercised.

Option Account: A brokerage account that is approved to hold option positions or trades.

Option Agreement: A form that an options investor opening an option account fills out guarantees the investor will follow trading regulations and has the financial resources to settle possible losses.

Option Cycle: The cycle of option expiration months. The most common cycles are: January, April, July, and October (JAJO); February, May, August, and November (FMAN); and March, June, September, and Decem . . . View Full Definition