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 December (MJSD).

 

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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

Option: Buying an option gives you the right to buy or sell a specific financial instrument at a specific price, called the strike price, during a preset period of time. In the United States, you ca . . . View Full Definition

Operating Cycle: The average time between the acquisition of materials or services and the final cash realization from that acquisition.

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 Elasticity: The percentage increase in an option's value, given a 1 percentage point change in the value of the underlying security.

Open Adoption: An adoption process in which birth parents meet and know · the adoptive parent(s). Ongoing contact could range from periodic pictures and letters to regular visits.

Nonqualifying Stock Option: An employee stock option that does not satisfy IRS qualifying rules and therefore is liable for taxation upon exercise .

Naked Option Strategies: An unhedged strategy making exclusive use of one of the following: Short call strategy (selling or writing call options), and short put strategy (selling or writing put options). By themselv . . . View Full Definition

Naked Option: When you write, or sell, a call option but don't own the underlying instrument, such as a stock in the case of an equity option, the option is described as naked. Similarly, you write a nake . . . View Full Definition