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TLO

An acronym for traffic-light option, which is an OTC option that belongs to the class of correlation derivatives, and which…

OTC Option

An option that trades over the counter rather than on a formal exchange. As such, the trading parties involves directly,...

Lookalike Option

An over-the-counter option that is cash-settled based on the settlement price of a similar exchange-traded futures contract on a certain...

Dividend Protection

Adjusting the strike price of an OTC option by the amount of dividends paid on the underlying asset/ stock. This...

Exchange-Listed Option

An option contract, call or put, that trades (i.e., is listed) on an organized or regulated securities or futures exchange....

Listed Option

An option contract, call or put, that trades (i.e., is listed) on an organized or regulated securities or futures exchange....

Spreadtion

An OTC option which is written on a spread. The spreadtion is usually used to lock in the difference between...

Spread Option

An OTC option which is written on a spread. The spread option is usually used to lock in the difference...

Swap Futures Option

An option on a swap futures. This option replicates the European-style convention of an OTC option with exercise taking place...

Mortgage Prepayment Floor

An OTC option (floor) that provides the holder, usually a mortgage company, with protection from a potential loss in return...