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.

 

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

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

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

Option Premium: When you buy an option, you pay the seller a nonrefundable amount, known as the option premium, for the right to exercise that option before it expires. If you sell an option, you receive a . . . View Full Definition

Option Price: Also called the option premium; the price the buyer of the options contract pays for the right to buy or sell a security at a specified price in the future.

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

Option Run: Usually, a type of play in which the quarterback has the option of handing off, keeping, or laterally passing to one or more backs. Often described by a type of formation or play action, suc . . . View Full Definition

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