A Christmas tree spread that involves the selling of one put option at the highest exercise price and the purchase...

An option trading strategy that involves buying one option and selling two same-type options at sequentially higher strike prices, if...

A long position in a receiver swaption. This position gives the holder the right and opportunity to receiver the floating...

An action that entails the completion of just one part (leg) of a spread (or generally a derivative position such...

The construction of a combination option such as a straddle or a spread by putting together its two legs, one...

An action that entails the closing out of one leg or part of a spread or generally a derivative position...

The selling of one part of a combination option while retaining position in the remaining part. A leg is one...

In general, a leg is one of several components or steps of a derivative transaction. In connection with combination options,...

It stands for local volatility; in the context of option pricing, it is a type of volatility that locally (for...

In the context of option pricing, it is a type of volatility that locally (for a given function) depends on...