Islamic Finance

Dain Ghair Sahih

January 22, 2023
Exchanges

Consolidated Display

January 22, 2023

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An option that allows the holder to specify a certain price level that caps his range of participation in spot price moving against his view or prediction. The strike price resets to more favorable levels within that range. The holder can specify, along with the strike, a series of lock strikes in the out-of-the-money direction. As the spot price hits each lock strike, the strike automatically resets to the lock strike.

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