Tag: options
Savings Account
DefinitionA savings account is a deposit account held at a retail bank that pays interest but cannot be used directly as money in the...
Vanilla Strategy
What is 'Vanilla Strategy' An approach to investing or to business decision-making that is basic and common. Some investors and businesses excel...
Fair Market Value Purchase Option
What is a Fair Market Value Purchase Option
A Fair Market Value Purchase Option is an agreement between a buyer and a seller that gives...
Far Option
What is the Far Option and how can it benefit me
The Far Option is a long-term financial planning strategy that can help you to...
Wash-Sale Rule
DefinitionA wash sale is a sale of a security at a loss and repurchase of the same or substantially identical security shortly before or...
Warrant Premium
What is 'Warrant Premium' The amount that an investor must pay above the current market price for a security, when purchasing and...
Watered Stock
DefinitionWatered stock is an asset with an artificially-inflated value. The term is most commonly used to refer to a form of securities fraud common...
Gamma Pricing Model
What is 'Gamma Pricing Model' An equation for determining the fair market value of a European-style option when the price movement on...
Weak Shorts
What is 'Weak Shorts' Traders or investors who hold a short position in a stock or other financial asset who will close...
Gamma Neutral
What is 'Gamma Neutral' A method of managing risk in options trading by establishing an asset portfolio whose delta rate of change...