A spread option position whereby the price of the option purchased (long option) is larger than the price of the...

A spread option position whereby the price of the option purchased (long option) exceeds the price of the option sold...

An options trading strategy which is arranged such that the premium received from an option sold (short option) compensates for...

The market risk premium (MRP) that is computed using historical data available for a past period. It is the observed...

The market risk premium (MRP) that is computed using historical data available for a past period. It is the observed...

It stands for market risk premium; in accounting, market risk premium basically has two distinct meanings: "market risk" premium and...

In accounting, market risk premium basically has two distinct meanings: "market risk" premium and market "risk premium". A "market risk"...

The sensitivity of an option price to the change in its underlying asset price. Differently stated, it is the change...

A naked option is an option that is not covered with an offsetting position in the underlying. In other words,...

The future levels of volatility calculated taking into account current market prices of options. It builds on spot implied volatility...