Derivatives
Stack
April 10, 2023
Islamic Finance
Bay’ al-Namuzhaj
April 10, 2023

An option combination, similar to a straddle, in which both the put and call legs have the same expiration date but different strike prices. The put strike price is set below the call strike price so that a range of prices is established on the mutual expiration date.

It is often referred to as a strangle or a surf and turf.

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