옵션 거래 전문 용어

옵션 거래 용어집

용어 해설.

1 Aug 2017 업데이트 됨.

초보자를위한 꼭 알아야 할 10 가지 옵션 조항.

알파벳 순서로 색인.

누적 - 투자자가 누적되기 시작할 때 주식이 현저히 하락한 후에 옆으로 움직이기 시작할 때.

조정 옵션 - 기본 재고의 자본 구조의 주요 변경 사항에 대해 가격을 책정하기 위해 조건을 맞춤화 한 비표준 스톡 옵션. 조정 된 옵션에 대한 전체 자습서를 읽으십시오.

All-or-None (AON) 주문 - 완전히 채워야하는 주문이거나 그렇지 않으면 주문이 실행되지 않습니다. 이것은 정확하게 채워 져야하는 복잡한 옵션 전략을 실행하는 옵션 거래자에게 유용한 순서입니다. 옵션 주문의 종류 설명.

미국식 옵션 - 구입일과 만료일 사이에 언제든지 행사할 수있는 옵션 계약입니다. 대부분의 교환 거래 옵션은 미국 스타일입니다. 미국 스타일 옵션에 관한 튜토리얼을 읽으십시오.

Arbitrage - 가격 불일치로부터 이익을 얻기위한 금융 상품의 동시 구매 및 판매. 옵션 거래자는 서로 다른 옵션 거래 간의 동일한 옵션 계약의 가격 불일치를 자주 찾고 위험 자유 무역의 혜택을받습니다. 옵션 차익 거래에 대해 자세히 알아보십시오.

Ask Price - 'bid and ask'라는 문구에서 사용 된 것처럼 잠재적 인 판매자가 판매 할 의사가있는 가격입니다. 이것을 말하는 또 다른 방법은 누군가가 팔고있는 것에 대한 가격을 요구하는 것입니다. 옵션 계약 및 주식을 매수 가격으로 구매합니다. 옵션 가격에 대해 자세히 알아보십시오.

지정 - 주식 판매 (전화 옵션 작성자) 또는 주식 매입 (옵션 작성자 배치) 의무를 이행하기 위해 옵션 작가를 지명합니다. 작가는 옵션 클리어링 코퍼레이션 (Option Clearing Corporation)으로부터 배정 통지서를받습니다. 옵션 할당에 대해 자세히 알아보십시오.

At Money - 옵션의 행사 가격이 현행 주가와 같은 경우. 돈 옵션에 대해 자세히 알아보십시오.

자동 연습 - 돈 옵션에 무작위로 자동 실행됩니다. 자동 운동에 대해 자세히 알아보십시오.

자동 거래 - 옵션 브로커가 옵션 자문 서비스에서 권장하는 거래를 자동으로 실행하도록하는 3 자간 합의. 자동 거래에 대해 자세히 알아보십시오.

Backspread - Reverse Strategy를 참조하십시오. Backspreads에 대해 자세히 알아보십시오.

Barrier Options (장애물 옵션) - 특정 가격에 도달했을 때 존재하거나 사라지는 이색 옵션입니다. 배리어 옵션에 대해 자세히 알아보십시오!

약세 - 일반적인 시장이나 기초 자산 또는 둘 모두에 의한 가격 하락을 예상하는 의견.

약세 옵션 전략 - 옵션을 사용하여 기본 주식의 아래쪽 이동에서 이익을 얻는 다양한 방법. Bearish 옵션 전략에 대한 자습서를 읽어보십시오.

베어 스프레드 (Bear Spread) - 주가가 하락할 때 최대 이윤을 얻고 주가가 상승하면 최대 리스크를 갖는 옵션 전략. 전략은 풋 (puts) 또는 호출 (call) 중 하나로 구현 될 수 있습니다. 두 경우 모두 더 높은 가격의 옵션을 구매하고 낮은 가격의 옵션을 판매하며 두 옵션의 유효 기간은 일반적으로 동일합니다. 황소 퍼짐을보십시오. 옵션 전략 라이브러리.

Bear Trap (베어 트랩) - 기술적으로 확인되지 않은 하향 움직임으로 투자자의 약세를 조장합니다. 그것은 보통 강한 집회에 선행하고 종종 부주의 한 것을 잡습니다.

베타 (Beta) - 주가가 주식 시장 전체와 함께 움직이는 역사적 성향을 나타내는 수치.

입찰가 - 잠재 구매자가 귀하에게서 구매하고자하는 가격. 즉, 입찰 가격으로 판매한다는 의미입니다. 옵션 가격에 대해 자세히 알아보십시오.

Bid / Ask Spread - 입찰가와 물가의 차이. 일반적으로 유동성이 높은 옵션 계약은 입찰 / 담보 스프레드가보다 엄격한 경향이 있고 유동성이 낮고 거래가 얇은 옵션 계약은 폭 넓은 입찰 / 스프레드가있는 경향이 있습니다. 옵션 가격에 대해 자세히 알아보십시오.

이진 옵션 (Binary Options) - 만기별로 돈을 버는 경우 고정 수익을 지불하거나 전혀 지불하지 않는 옵션입니다. 이진 옵션에 대해 자세히 읽어보십시오.

Black-Scholes 모델 - 주식 가격, 파격 가격, 변동성, 만기일, 지불 할 배당금 및 현재 무위험 이자율과 같은 특정 변수의 함수로 옵션 가격을 책정하는 수학 공식입니다. Black-Scholes 모델에 대해 자세히 알아보십시오.

Box Spread - 복잡한 4 다리 옵션 거래 전략으로 무위험 차익 거래를위한 옵션 가격의 불일치를 이용했습니다.

Break-Even Point - 특정 전략이 돈을 벌지도 잃지도 않는 주가 (또는 가격). 일반적으로 전략과 관련된 옵션의 만료일에 결과와 관련이 있습니다. "동적" 손익분기 점은 시간이 지남에 따라 변하는 점입니다.

폭 - 전진하는 주식의 순수한 수는 감소하는 주식의 수입니다. 진보가 쇠퇴를 초과 할 때 시장의 폭은 경사입니다. 쇠퇴가 전진 할 때 시장은 떨어지고있다.

브레이크 아웃 - 주가 또는 평균이 이전의 높은 저항 수준 이상으로 이동하거나 이전의 낮은 지원 수준 아래로 이동하면 발생합니다. 확률은 추세가 계속 될 것입니다.

완고한 - 일반 시장이나 개인 안전에 의한 가격 상승을 예상하는 의견.

낙관적 인 옵션 전략 - 기본 주식의 상향 이동으로 이익을 창출하기 위해 옵션을 사용하는 다양한 방법. 낙관적 인 옵션 전략에 대한 자습서를 읽어보십시오.

Bull Call Spread - 중도 적으로 상승 할 것으로 예상되는 주식으로 이익을 얻기 위해 콜 옵션을 구매하는 선행 비용을 줄이는 것을 목표로하는 강세 옵션 전략. Bull Call Spread에 대한 자습서를 읽으십시오.

Bull Spread - 기본 보안이 충분히 높으면 최대한의 잠재력을 발휘하는 옵션 전략으로, 보안이 충분히 떨어지면 최대 위험이 있습니다. 파업 가격이 낮은 옵션을 구입하고 파격 가격이 높은 옵션을 판매합니다. 일반적으로 둘 다 동일한 만료 날짜가 적용됩니다. 풋이나 콜 중 하나를 전략에 사용할 수 있습니다. 옵션 전략 라이브러리.

불의 함정 - 기술적으로 확인되지 않은 투자자가 투자자에게 낙관적 인 움직임을하도록 유도합니다. 일반적으로 중요한 쇠퇴를 앞두고 다른 지표로 확인을 기다리지 않는 사람들을 종종 속입니다.

Butterfly Spread - 버드 스프레드와 곰 스프레드를 결합하여 위험과 제한된 수익 잠재력을 모두 갖춘 중립적 인 옵션 전략입니다. 3 건의 파업 가격이 포함되며, 낮은 2 건은 황소 확산에 사용되며 2 건은 곰 확산에 사용됩니다. 전략은 풋 (puts) 또는 콜 (call) 중 하나로 설정 될 수 있습니다. 동일한 기본 위치를 구성하는 옵션을 결합하는 4 가지 다른 방법이 있습니다. 나비 확산에 관한 모든 것을 배우십시오.

Buy To Open - 장기간에 걸쳐 옵션 포지션을 설정하십시오. Buy To Open 자습서를 읽으십시오.

통화 - 통화 옵션을 참조하십시오.

브로큰 윙 (Broken Wing)이라고 부릅니다. 나비 퍼짐 - 기본 주식이 부진했을 때 손실이나 약간의 크레딧을 내지 않는 왜곡 된 위험 / 보상 프로필이있는 나비 확산입니다. 이것은 정기적 인 나비 스프레드보다 돈 통화 옵션에서 파업을 추가로 구매함으로써 성취됩니다. Call Broken Wing Butterfly Spread에서 자습서를 읽으십시오.

브로큰 윙 (Broken Wing) 콜 도르 퍼짐 (Condor Spread) - 콘도르 (Condor)는 기본 주식이 부진했을 때 손실이나 약간의 크레딧을 내지 않는 왜곡 된 위험 / 보상 프로파일로 확산됩니다. 이것은 일반 콘도르 확산보다 돈 통화 옵션에서 더 많은 파업을 구입함으로써 성취됩니다. Call Broken Wing Condor Spread의 튜토리얼을 읽어보십시오.

Call Ratio Backspread - 무제한의 이익을 가진 신용 옵션 거래 전략과 통화 제한보다 더 많은 돈을 사는 것보다 더 적은 이익을 제한적으로 부과하는 것은 통화 단절입니다. Call Ratio Backspread에 대한 자습서를 읽으십시오.

통화 비율 스프레드 (Call Ratio Spread) - 통화가 주식을 매입하는 것보다 돈을 더 많이 내고, 아래로 또는 옆으로 넘어갈 때 수익을 올릴 수있는 신용 옵션 거래 전략. Call Ratio Spread에 대한 자습서를 읽으십시오.

Call Time Spread - Call Calendar Spread의 또 다른 이름입니다. 장기 콜 옵션을 매수하고 단기 콜 옵션을 사용하는 옵션 트레이딩 전략은 시간 붕괴로부터 이익을 얻기 위해 작성됩니다. Call Time Spread에 대한 자습서를 읽으십시오.

Called Away - 통화 옵션 작성자가 통화 옵션의 가격과 동일한 가격으로 옵션 구매자에게 기본 주식을 양도 할 의무가있는 프로세스입니다. Called Away의 튜토리얼을 읽으십시오.

Calendar Spread (카렌드 스프레드) - 주로 만료로부터 이익을 얻으려면 다른 만료 날짜가있는 옵션 조합을 사용하는 옵션 거래 전략 유형입니다. Calendar Spreads에 대해 모두 읽어보십시오.

Calendar Straddle 또는 Combination - 장기 중계 및 짧은 기간의 매매와 관련된 복잡한 중립 옵션 전략. Calendar Straddle에 대해 모두 읽어보십시오.

Calendar Strangle (달력 교살) - 장기 교유 구입 및 단기 목 매매와 관련된 복잡한 중립 옵션 전략. Calendar Strangle에 대해 모두 읽어보십시오.

통화 옵션 - 일정 기간 고정 가격으로 기본 보안을 구입할 수있는 권리를 부여하는 옵션입니다. 모든 통화 정보보기를 읽습니다.

자본화 - 회사가 발행 한 증권의 총 금액. 이는 채권, 사채, 우선주, 보통주 및 잉여금을 포함 할 수 있습니다.

Cash Secured Put - 임명시 필요한 현금으로 완전히 충당되는 Short Put 옵션. Cash Secured Put에 관한 모든 정보를 읽으십시오.

Cash Settlement / Cash Delivered - 행사 될 때 기본 자산 대신 현금으로 이익을 제공하는 옵션. 현금 결제 옵션에 관한 모든 것을 읽으십시오.

CBOE - 시카고 이사회 옵션 교환; 상장 스톡 옵션을 거래하는 최초의 국가 교환국.

CBOE VIX - VIX를 참조하십시오.

체인 - 여러 개의 행사 가격에 대한 옵션 견적 목록입니다. 옵션 체인에 대한 추가 정보.

Class of Options - 동일한 기본 자산을 다루는 동일한 유형 및 스타일의 옵션 계약.

마감 - 거래일 말에 최종 가격이 계산되는 기간.

Closing Order - 옵션 거래자가 반대 위치에있는 옵션의 매도 또는 매도. 콜 옵션을 작성하는 옵션 트레이더는 해당 콜 옵션을 "닫고 구매"하여 마감 주문을 실행합니다. 통화 옵션을 구입 한 옵션 거래자는 해당 통화 옵션을 "판매 종료"하여 마감 주문을 실행합니다. 옵션 주문의 종류 설명.

Condor Spread - 미리 결정된 범위 내에서 주식 거래로 이익을 얻는 복합 중립 옵션 전략. Condor Spreads에 대한 모든 것을 읽어보십시오!

Contango - 석유 시장에서 유래 한 용어. 이것은 월 임 플라이드 변동성이 더 먼 임박 변동보다 높을 때입니다. 이것은 정상적인 시장 상황을 나타냅니다.

조건부 주문 - 사전 정의 된 기준 충족에 따라 조건을 유발하는 고급 맞춤형 옵션 주문입니다. 임시 주문에 대해 자세히 알아보십시오.

수정 (Correction) - 나중에 리바운드하기 전에 주식이 일시적으로 가격이 하락할 때.

Contract Size (계약 크기) - 옵션 계약이 적용되는 원 자산의 금액입니다. 이것은 일반적으로 100입니다. $ 2.50에 대한 옵션을 인용하면 한 계약에는 $ 2.50 x 100 = $ 250의 비용이 들어가고 100 개의 주식이 포함됩니다.

Contract Neutral Hedging (계약 중립적 헤징) - 1 회 풋 옵션을 사거나 1 회 공유에 대해 1 콜 옵션을 판매하는 정적 헤징 기법. Contract Neutral Hedging에 대해 자세히 알아보십시오!

반대 의견 - 일반 대중 및 / 또는 월스트리트의 반대 의견. 주요 시장 전환점에서 가장 중요합니다. 낙관적이든 곰 같은 것이 든 전반적인 의견 일치는 보통 극단적 인 것입니다. 반대 의견을 갖는 투자자는 대개 시간이 지남에 따라 이익을 얻습니다.

전환 - 긴 주식 위치를 종목의 짧은 주식 위치로 변환. 옵션을 사용하여 원래의 긴 주식 위치를 닫지 않고 합성 포지션을 사용합니다. 전환에 대해 자세히 알아보십시오.

Consolidation - 투자자들이 이익을 얻기 위해 지분의 일부를 팔기 시작함에 따라 주식이 현저히 상승한 후에 횡보하기 시작했을 때.

계약 범위 - 옵션 계약이 거래 한 가장 높은 가격과 가장 낮은 가격입니다. 계약 범위에 대해 자세히 알아보십시오.

Cover - 처음에 작성된 옵션을 마감 거래로 다시 구매합니다.

Covered Call Write (Covered Call Write) - 기본 주식의 동일한 주식수를 동시에 소유하면서 통화 옵션을 씁니다. 여기에 포함 된 모든 통화 정보를 읽으십시오!

Covered Put Write - Put 옵션을 판매하는 전략이며 동시에 기본 보안의 동일한 주식수만큼 짧습니다. 해당 대상에 관한 모든 것을 배우십시오.

Covered Straddle Write - 투자자가 기본 보안을 소유하고 해당 보안에 걸치는 전략을 설명하는 데 사용되는 용어. 이것은 실제로 덮힌 위치가 아닙니다.

Covered Warrant - 콜 옵션 및 Put 옵션과 거의 동일하게 작동하는 구조화 워런트 (structured warrants)에 사용되는 용어. Warrants & Options의 차이점에 대해 읽어보십시오.

신용 - 계정에서받은 돈. 신용 거래는 순매매가 순매수 (비용)보다 많아서 그 돈을 계좌에 입금하는 거래입니다. 많은 신용 옵션 전략이 있습니다. 차변 및 신용 스프레드에 관한 모든 것을 여기에서 읽어보십시오!

신용 스프레드 (Credit Spread) - 신용 스프레드 (Credit Spread)는 순매도가 순매수 (비용)보다 많아서 돈을 계좌로 가져 오는 옵션 스프레드입니다. 신용 스프레드에 대해 자세히 알아보십시오.

주 주문 (Day Order) - 거래일이 끝나면 만료되는 주문. 실행되지 않을 경우 만료됩니다. 여기에서 옵션 주문에 관한 모든 것을 읽으십시오!

Day trader / Daytrader - 동일한 거래일 내에 옵션 포지션을 열거 나 닫을 수 있습니다.

Day trading / Daytrading - 동일한 거래일 내에 열리고 닫히는 여러 거래를 만드는 거래 방법입니다. 옵션 거래 스타일에 대해 자세히 알아보십시오.

차변 - 계정에서 지불 한 비용 또는 돈. 직불 거래는 순 비용이 순매매보다 많습니다.

차변 스프레드 - 입을 돈을 지불해야하는 옵션 스프레드. 직불 스프레드에 대해 자세히 알아보십시오.

붕괴 - 시간 붕괴를 참조하십시오.

산출물 - 옵션 행사시 옵션 소유자에게 전달되는 금융 자산입니다.

델타 - 기초 엔티티에 의해 가격의 상응하는 변화에 대해 옵션의 가격이 변경되는 금액. 통화 옵션에는 양수의 델타가 있고 풋 옵션에는 음의 델타가 있습니다. 기술적으로, 델타는 옵션의 가격 변경을 즉각적으로 측정하므로 델타는 기본 엔티티의 분수 변경에도 변경됩니다. 결과적으로, 용어 "상향 델타" 및 "다운 델타" 적용 가능할 수 있습니다. 기본 보안에 의해 가격이 1 포인트 변경된 후 옵션의 변경 사항을 위 또는 아래로 설명합니다. "상향 델타" "다운 델타"보다 클 수있다. 콜 옵션의 경우에는 반대로, 풋 옵션의 경우에는 반대로 적용됩니다. 델타 및 기타 옵션 greeks에 대한 자세한 내용은 델타 옵션으로 이동하십시오.

Delta Neutral - 양수 델타 옵션과 음수 델타 옵션이 서로 오프셋되어 기본 주식이 약간 위아래로 움직일 때 값이 증가하거나 감소하지 않는 위치를 생성합니다. 그러한 포지션은 이동이 중요하다면 근본적인 주식이 결국 이동하는 방식에 상관없이 이익을 반환합니다. Delta Neutral Trading 수행 방법 알아보기.

Delta Spread - 관련된 옵션의 델타를 활용하여 중립 위치로 설정된 비율 스프레드. 중립 비율은 구매 옵션의 델타를 서면 옵션의 델타로 나눈 값입니다.

파생 상품 - 다른 금융 상품의 가치와 특성에 부분적으로 기인 한 금융 상품. 파생 상품의 예로 옵션, 선물 및 영장이 있습니다.

Diagonal Call Time Spread - 중립적 인 옵션 거래 전략으로 주로 통화 옵션을 장기간 구매하고 단기적으로 단기 통화 옵션을 이용하여 시간을 거쳐 이익을 얻습니다. Diagonal Call Time Spread Tutorial을 읽으십시오.

대각선 확산 - 동일한 기본 유형, 동일한 유형이지만 다른 만료 월 및 파업에 대한 옵션이 보급되었습니다. Diagonal Spread Tutorial을 읽으십시오.

할인 - 옵션이 내재 가치보다 낮은 가격으로 거래하는 경우 할인 거래를합니다. 미래는 기본 지수 또는 상품의 현금 가격보다 낮은 가격으로 거래하는 경우 할인 거래를합니다. 내재 가치와 패리티 참조.

Discount Broker - 낮은 수수료율을 제공하는 중개 회사. 옵션 브로커 목록보기!

배당금 - 회사가 기존 주주에게 이익금을 지급하는 경우. 이 이익 분배는 현금 또는 옵션 일 수 있습니다. 주식 옵션에 대한 배당 효과에 대해 읽어보십시오.

하향 보호 - 일반적으로 보험 적용 통화 작성과 관련하여 사용되며, 이는 서면 통화 옵션으로 제공되는 기본 보안에 의한 가격 하락의 경우 손실에 대한 쿠션입니다. 또는 총 주가가 손실 (옵션 프리미엄과 동일한 금액)이되기 전에 주가가 하락할 수있는 거리 또는 현재 주가의 백분율로 표시 될 수 있습니다.

다이내믹 헤징 (Dynamic Hedging) - 헤지 비율을 유지하기 위해 지속적으로 재조정해야하는 헤징 기법.

Early Exercise (과제) - 만료일 전에 옵션 계약을 행사 또는 양도하는 행위.

종업원 스톡 옵션 - 종업원에게 보상 및 인센티브의 수단으로 부여 된 스톡 옵션. 종업원 주식 옵션에 대해 자세히 알아보십시오.

주식 옵션 - 보통주를 기본 증권으로하는 옵션.

ETF - 교환 트레이드 펀드. 개방형 펀드는 증권처럼 주식 교환으로 거래가 가능합니다. ETF는 투자자들이 주식에 투자하는 것처럼 금이나은과 같은 다양한 금융 상품에 투자 할 수있게했습니다.

유럽 ​​운동 (European Exercise) - 옵션 만료시에만 행사할 수있는 옵션의 기능. 따라서이 유형의 옵션에는 조기 할당이 불가능할 수 있습니다. 유럽 ​​스타일 옵션 자습서를 읽으십시오.

연습 - 나열된 옵션 계약의 조건에 따라 부여 된 권한을 호출합니다. 홀더는 운동하는 사람입니다. 통화 보유자는 기본 보안을 구입하기 위해 운동을하고, 보유자는 기본 보안을 판매하기 위해 운동을합니다. 옵션 연습 방법에 대한 자습서를 읽으십시오.

운동 한도 (Exercise Limit) - 소지자가 일정 기간 동안 운동 할 수있는 계약 수의 한도. 적절한 옵션 교환에 의해 설정 됨으로써, 투자자 또는 투자자 그룹이 "코너링 (cornering)"을 방지하도록 설계된다. 주식 시장.

행사 가격 - 옵션 보유자가 옵션 증권 계약 조건에 정의 된 바에 따라 기본 유가 증권을 매매 할 수있는 가격. 이는 소지자가 기본 보안을 구매하기 위해 행사할 수있는 가격이거나 풋내기 소지자가 근본적인 보안을 판매하기 위해 행사할 수있는 가격입니다. 나열된 옵션의 경우 행사 가격은 Strike Price와 동일합니다.

기대 수익 - 주식 가격의 통계적 분포를 포함하는 다소 복잡한 수학적 분석으로, 역사적으로 똑같은 투자를 여러 번 반복한다면 투자자가 기대할 수있는 수익률입니다.

만료일 - 옵션 계약이 무효화되는 날. 주식 옵션의 만기일은 만기 월의 세 번째 금요일 이후 토요일입니다. 이 날짜까지 모든 옵션 보유자는 운동을 원할 경우 운동을 원한다는 표시가 있어야합니다. 옵션 만료에 대한 전체 자습서를 읽으십시오.

만료 시간 - 만료일에 모든 운동 고지를 수신해야하는 시간. 기술적으로 만료일은 현재 만료일 오후 5시이지만 옵션 계약의 공개 보유자는 만료일 이전 영업일 오후 5시 30 분까지 운동을 원한다고 표시해야합니다. 시간은 동부 표준시입니다.

가치가없는 만료 - 돈 옵션에서 벗어나 모든 가치를 잃고 만료일에 만료됩니다. Expire Worthless에 대한 전체 자습서를 읽어보십시오.

외래 값 - "프리미엄 값"또는 "시간 값"이라고도합니다. 그것은 옵션의 가격과 본질적인 가치의 차이입니다. 외래 값에 대한 전체 자습서를 읽으십시오.

공정 가치 - 수학적 모델에 의해 결정된 옵션 또는 선물 계약의 가치를 설명하는 데 사용되는 용어.

신탁 통 (Fiduciary Call) - 동일한 옵션으로 보호용 풋이나 결혼 풋을 대신하는 콜 옵션을 구매하는 옵션 거래 전략. 신탁 인의 전화에 대해 더 자세히 읽으십시오!

금융 수단 - 본질적인 금전적 가치 또는 이전 가치가있는 실제 또는 전자 문서입니다. 예를 들어, 현금, 주식, 선물, 옵션 및 귀금속은 금융 상품입니다.

Frontspreads - 가격이 거의 변하지 않는 중립 시장 조건에서 이익을 얻도록 고안된 옵션 전략. Frontspreads에 대해 더 자세히 읽어보십시오.

Fundamental Analysis (기본 분석) - 수입, 판매, 자산 등과 같이 합당한 회계 측정을 관찰하여 보안 전망을 분석하는 방법.

감마 (Gamma) - 기본 주식 가격에서 한 단위 변경에 대한 스톡 옵션의 델타 변화율. 모든 옵션 정보 감마를 읽으십시오.

Gamma Neutral (감마 중립) - 감마값이 0 또는 거의 0 인 위치로 기본 주식 이동 방식에 관계없이 위치의 델타 값이 정체 상태를 유지합니다. 감마 중립에 관한 모든 것을 읽으십시오.

Goldilock Economy (골드 로크 경제) - 꾸준한 성장과 온건 한 인플레이션을 지닌 경제. 지나치게 뜨겁지도 춥지도 않고 주식 시장 친화적 인 통화 정책이 가능합니다.

GTC (Good Until Cancelled) - 일부 주문 유형에 적용되는 지정입니다. 주문이 채워 지거나 취소 될 때까지 주문이 계속 적용됩니다. 여기에서 옵션 주문에 관한 모든 것을 읽으십시오!

진행 중 - 분석가의 전문 용어. 미래의 의미. 12 개월은 앞으로 12 개월을 의미합니다.

헬리콥스 - 스톡 옵션 가격 계산과 관련된 일련의 수학적 기준입니다. 옵션 그리스에 대해 더 읽어보십시오.

Grocession (그루 세이 세션) - 경기 침체로 느껴질 GDP의 0 ~ 2 %의 장기간 성장.

헤지 (Hedge) - 보상 적 가격 변동을 통한 손실을 방지하는 거래. 여기에 관한 모든 것을 읽으십시오!

헤지비 (Hedge Ratio) - 옵션의 델타와 같은 수학적 양입니다. 이론적으로는 위험 부담이없는 헤지 펀드가 기본 주식 및 콜 또는 풋 옵션의 포지션을 상쇄함으로써 확립 될 수 있다는 점에서 유용합니다. 헤지 비율에 관한 모든 것을 여기에서 읽어보십시오!

역사적 변동성 - 기본 자산의 과거 가격 변동의 변동성. Realized Volatility라고도합니다.

Horizontal Call Time Spread - 통화 옵션이 장기적으로 매수되고 통화량 옵션의 단기간이 기본 주식이 정체 상태에있을 때 이익을 내기 위해 쓰여지는 옵션 전략. Horizontal Call Time Spread에 대한 자습서를 읽으십시오.

Horizontal Put Time Spread (수평 적 매도 시간의 스프레드) - 돈을 풋 옵션에 장기적으로 매입하고 옵션의 단기 매매 옵션이 기본 주식이 정체 상태에있을 때 이익을 내기 위해 쓰여지는 옵션 전략. Horizontal Put Time Spread에 대한 자습서를 읽으십시오.

Horizontal Spread - 옵션이 동일한 행사 가격을 갖지만 만료일이 다른 옵션 전략.

내재 변동성 - 기본 주식의 변동성을 측정 한 것으로, 기본 주식의 가격 변동에 대한 이력 데이터를 사용하는 것이 아니라 현재 시장에 현재 존재하는 가격을 사용하여 결정됩니다. 내재 변동성에 대해 자세히 알아보십시오.

증분 수익률 (Incremental Return Concept) - 커버 된 통화 작성 전략으로, 투자자는 주식 매각을 목표로하는 옵션 포지션에서 추가 수익을 얻을 수 있습니다.

색인 - 여러 공통 실체의 가격을 단일 숫자로 집계합니다.

인덱스 옵션 - 기본 자산이 주식과 같은 하드 자산 대신 색인이되는 옵션입니다. 대부분의 인덱스 옵션은 현금 기반입니다. 색인 옵션에 대한 전체 자습서를 읽어보십시오!

In Money - 본질적인 가치를 지닌 옵션 계약을 설명하는 용어. 기본 보안 수준이 통화의 가격보다 높으면 통화 옵션이있는 것입니다. 보안이 행사 가격보다 낮 으면 풋 옵션이 돈이됩니다. 돈 옵션에 대한 정보는 모두 여기에서 읽으십시오.

내재 가치 (Intrinsic Value) - 기본 주식을 현재 가격으로 즉시 만료하는 경우 옵션의 가치. 옵션 금액은 금액입니다. 통화 옵션의 경우, 주가가 현가와 큰 차이가 나는 경우 그렇지 않으면 0입니다. 풋 옵션의 경우 파업 가격과 주가 차이 (양수인 경우)와 그렇지 않은 경우의 차이입니다. Intrinsic Value에 대한 전체 자습서를 읽어보십시오!

마지막 거래일 - 만료 월의 세 번째 금요일. 옵션은 마지막 거래일 동부 표준시로 오후 3시에 거래를 중지합니다.

다리 - (동사) 양면 위치를 확립하는 위험 지향적 인 방법. 위치를 확립하기 위해 동시 거래를 시작하는 대신 (예 : 스프레드), 거래자는 먼저 상대방을 나중에 더 나은 가격으로 실행하기를 원하면서 포지션의 한 쪽을 실행합니다. 위험은 더 나은 가격을 결코 사용할 수 없으며, 결국 더 나쁜 가격이 수용되어야한다는 사실로부터 구체화됩니다.

(명사) 많은 종류의 옵션을 포함하는 옵션 전략에서 각 옵션 유형은 다리라고합니다. 옵션 다리에 대한 전체 자습서를 읽어보십시오!

Legging - 복잡한 옵션 거래 포지션의 각 구간에 개별적으로 개별적으로 진입합니다. Legging에 대한 전체 자습서를 읽어보십시오!

LEAPS - 장기 투자 증권. 간단히 말해서, 향후 1 년 이상 만료되는 옵션 계약입니다. 6 개월에서 1 년 후에 만료되는 옵션 계약은 LEAPS라고도합니다. 자세한 정보는 LEAP를 참조하십시오.

Level II Quotes - NASDAQ이 제공하는 실시간 견적은 각 시장 별 공급 업체가 제공 한 특정 입찰가를 요구합니다. 여기에 Level II 지수에 관한 모든 것을 읽으십시오.

레버리지 - 투자에서 수익 및 위험 잠재력이 더 높아집니다. 통화 보유자는 주식 보유자에 대한 레버리지를가집니다. 주식 보유자는 기본 주식의 동일한 이동에 대해 후자보다 더 많은 이익과 손실을 보게됩니다. 옵션 활용을 계산하는 방법에 대해 읽어보십시오.

한도 - 거래 한도 참조.

제한 주문 - 지정된 가격 (한도)으로 유가 증권을 매매하기위한 주문. 주문 제한에 대해 자세히 읽어보십시오.

Liquid / Liquidity (유동성 / 유동성) - 기존 시장 가격을 훼손하지 않고 구매 또는 판매를 할 수있는 용이성. 주식 옵션 유동성에 영향을 미치는 내용을 읽어보십시오!

Listed Option - 국가 옵션 거래소에서 거래되는 Put 또는 Call 옵션. 상장 된 옵션의 가격 및 만료일은 고정되어 있습니다.

오랫동안 - 길게는 뭔가를 소유하는 것입니다. 긴 옵션 위치에 대해 자세히 알아보십시오.

룩백 옵션 - 룩백 옵션을 행사할 최적 가격을 결정하기 위해 만료 기간 동안 기본 자산의 가격 조치를 "되돌아보고"볼 수있는 이국적인 옵션입니다. LookBack 옵션에 대해 자세히 알아보기!

Margin (stocks) - 증권사로부터 자금을 빌려 증권 매입. 증권 회사가 빌려줄 수있는 투자의 최대 비율 인 마진 요구량은 연방 준비위원회 (Federal Reserve Board)에서 정한다.

증거금 (옵션) - 옵션을 쓸 때 현금 예치금을 고려해야합니다. 옵션 여백에 대한 전체 자습서를 읽으십시오.

Marked-To-Model - 쉽게 이용할 수있는 시장이 없기 때문에 유동 자산이 적은 수준 2 자산에 대한 재무 모델을 사용하는 평가 방법.

마켓 메이커 (Market Maker) - 공공 구매 또는 판매 주문이없는 경우 자신의 계좌에 대한 입찰 및 제안을함으로써 시장 조성을 돕는 기능을하는 교환 회원. 몇몇 시장 - 제작자는 보통 특정 보안에 할당됩니다. 마켓 메이커 시스템은 마켓 메이커와 보드 브로커를 포함합니다. 여기에 마켓 메이커에 관한 모든 것을 읽어보십시오!

시장 주문 - 현재 시장 가격으로 유가 증권을 매매하기위한 주문. 보안 시장이있는 한 주문은 채워질 것입니다. 모두에 관하여 선택권 시장 주문을 읽으십시오!

MOC (Market On Close) - 시장 마감 시점 또는 그 부근의 포지션을 채우는 옵션 거래 주문입니다. 여기에서 옵션 주문에 관한 모든 것을 읽으십시오!

결혼 풋과 스톡 - 풋과 스톡은 같은 날에 구매하면 결혼 한 것으로 간주되며 그 당시에는 헷지로 지명되었습니다. 여기 결혼 한 사람들에 대해 자세히 알아보십시오!

미니 색인 옵션 - 일반 색인 옵션 크기의 10 분의 1에 불과한 색인 옵션입니다. 여기에 미니 색인 옵션에 대해 자세히 알아보십시오!

미니 옵션 - 100 개의 주식 대신 10 개의 주식만을 취급하는 주식 옵션. 여기 미니 옵션에 대해 자세히 알아보십시오!

모델 (Model) - 주식 가격, 파격 가격, 변동성, 만기일, 지불 할 배당금 및 현재 위험이없는 이자율과 같은 특정 변수의 함수로 옵션 가격을 책정하는 수학 공식. Black-Scholes 모델은 널리 사용되는 모델 중 하나입니다.

돈 - 원 자산의 현물 가격과 관련된 옵션의 파업 가격. 여기 돈에 대해 자세히 알아보십시오!

다중 압축 - 거시 경제에 대한 비관론으로 인해 전반적으로 PE 비율을 줄이기 위해 일정 기간 동안 전체 시장이 매도되는 경우.

Multiple Expansion - 거시 경제에 대한 낙관론으로 인해 전반적으로 PE 비율을 증가시키기 위해 전체 시장이 일정 기간 동안 재편되는 곳.

NASDAQ - 증권 거래업자 자동 견적 시스템 협회. 증권이 전자 상장되어 거래되는 미국의 전자 시장입니다.

적나라한 옵션 - 발견 된 옵션을 참조하십시오.

Narrow Based (좁은 기준) - 일반적으로 지수를 가리키며, 지수는 특정 산업 그룹의 일부 주식으로 만 구성됩니다. 좁은 기반 색인은 적나라한 옵션 작성자에게는 유리한 대우를받지 않습니다.

금전 옵션 근처 - 기초 자산의 현물 가격에 가까운 가격의 옵션. 니어 더 머니 옵션에 관한 튜토리얼을 읽으십시오.

중립 - 약세 또는 낙관적이지 않은 의견을 기술합니다. 중립 옵션 전략은 일반적으로 기본 주식 가격의 순 변동이 거의 없거나 전혀없는 경우에 가장 잘 수행되도록 설계되었습니다.

중립 옵션 전략 - 이익을 위해 옵션을 사용하는 다양한 방법으로 주식은 정체 상태 또는 좁은 거래 범위 내에 있습니다. 중립 옵션 전략에 대한 자습서를 읽으십시오.

비 주식 옵션 - 기초 엔티티가 보통주가 아닌 옵션. 일반적으로 물리적 상품에 대한 옵션을 말하지만 인덱스 옵션을 포함하도록 확장 될 수도 있습니다.

One Sided Market - 판매자보다 구매자 또는 구매자가 훨씬 많은 시장 조건. In this case, there are not enough buyers putting up offers to buy from sellers or that there are not enough sellers putting up offers to sell to buyers.

Open Interest - The net total of outstanding open contracts in a particular option series. An opening transaction increases the open interest, while any closing transaction reduces the open interest. Read More About Volume and Open Interest.

Option - The right to buy or sell specific securities at a specified price within a specified time. A put gives the holder the right to sell the stock, a call the right to buy the stock.

Options Chains - Tables presenting the various options that a stock offers over various strike price and expiration dates. Read the full tutorial on Options Chains.

Options Contracts - Contingent claims contracts that allows its holder to buy or sell a specific asset when exercised. Read the full tutorial on Options Contracts.

Options on Futures - Options that have futures contracts as their underlying asset. Read the full tutorial on Options on Futures.

Optionable Stocks - Stocks with tradable options.

Option Pain - Also known as Max Pain or Max Option Pain. It is the stock price which will result in the most number of options contracts expiring out of the money. Read More About Option Pain.

Option Pricing Curve - A graphical representation of the projected price of an option at a fixed point in time. It reflects the amount of time value premium in the option for various stock prices, as well. The curve is generated by using a mathematical model. The delta (or hedge ratio) is the slope of a tangent line to the curve at a fixed stock price.

Option Trader - Also known as Options Trader. It is anyone who buys and sells options in the capital market. Read more about Option Traders.

Option Trading - Also known as Options Trading. It is the buying and selling of stock and index options in the capital market so as to speculate for leveraged profits in every market condition or perform hedging to reduce portfolio risk. Read more about Option Trading.

Options Clearing Corporation (OCC) - The issuer of all listed option contracts that are trading on the national option exchanges.

Options Margin - See "Margin (Options)".

Options Trading - The buying and selling of stock and index options in the capital market so as to speculate for leveraged profits in every market condition or perform hedging to reduce portfolio risk. Read more about Options Trading.

Options Trader - Anyone who buys and sells options in the capital market. Read more about Option Trading.

Options Strategist - An investment professional who specializes in research, analysis and execution of options strategies.

Options Symbol - A string of alphabets that define specific options contracts. 옵션 계약의 이름이라고도합니다. Read more about Reading Options Symbols.

Out of the Money - Describing an option that has no intrinsic value. A call option is out-of-the-money if the stock is below the strike price of the call, while a put option is out-of-the-money if the stock is higher than the strike price of the put. Read More About Out Of The Money Options.

Over-the-Counter Option (OTC) - An option traded over-the-counter, as opposed to a listed stock option. OTC 옵션은 구매자와 판매자 사이에 직접적인 연결 고리를 가지고 있으며, 보조 시장이 없으며 가격과 만료 날짜를 표준화하지 않습니다.

Overvalued - Describing a security trading at a higher price than it logically should. Normally associated with the results of option price predictions by mathematical models. If an option is trading in the market for a higher price than the model indicates, the option is said to be overvalued.

Parity - Describing an in-the-money option trading for its intrinsic value: that is, an option trading at parity with the underlying stock. Also used as a point of reference-an option is sometimes said to be trading at a half-point over parity or at a quarter-point under parity, for example. An option trading under parity is a discount option.

Physical Option - An option whose underlying security is a physical commodity that is not stock or futures. The physical commodity itself typically a currency or Treasury debt issue-underlies that option contract.

Physically Settled Option - An option which the actual underlying asset exchange hands when exercised. Read more about Physically Settled Options.

Portfolio - Holdings of securities by an individual or institution. A portfolio may contain options of different stocks or a combination of shares, options and other financial instruments.

Position - Specific securities in an account or strategy. A covered call writing position might be long 1,000 XYZ and short 10 XYZ January 30 calls. It also refers to facilitate; buy or sell a block of securities, thereby establishing a position.

Position Trading - The use of options trading strategies in order to profit from the unique opportunities presented by stock options, such as time decay, volatility and even arbitrage to make safe, fixed, albeit lower profit. Read more about Options Trading Styles.

Premium - The total price of an option contract is made up of the sum of the intrinsic value and the time value premium. Even though most people refer to the price of an option contract as the "Premium", it is actually an inaccurate expression. The Premium of an option contract is the part of the price that is not intrinsic. Please read more about Options Premium.

Premium Over Parity - See Extrinsic Value.

Profit Range - The range within which a particular position makes a profit. Generally used in reference to strategies that have two break-even points-an upside break-even and a downside breakeven. The price range between the two break-even points would be the profit range.

Profit Table - A table of results of a particular strategy at some point in time. This is usually a tabular compilation of the data drawn on a profit graph.

Protected Strategy - A position that has limited risk. A protected short sale (short stock, long call) has limited risk, as does a protected straddle write (short straddle, long out-of-the-money combination). The Ride The Flow System is an example of a protected strategy.

Protective Call - An option trading hedging strategy that protects profits made in a short stock position using call options. Read More About Protective call Here!

Protective Put - An option trading hedging strategy that hedges against a drop in stock price using put options. Read More About Protective Put Here!

Public Book (of orders) - The orders to buy or sell, entered by the public, that are away from the current market. The board broker or specialist keeps the public book. Market-makers on the CBOE can see the highest bid and lowest offer at any time. The specialist’s book is closed (only he knows at what price and in what quantity the nearest public orders are).

Pull back - A temporary fall in price after a rally. 집회는 보통 Pull Back 후에 계속됩니다. This is also known as a "Correction".

Put Broken Wing Butterfly Spread - A Butterfly Spread with a skewed risk/reward profile which makes no losses or even a slight credit when the underlying stock breaks to upside. This is achieved by buying further strike out of the money put options than a regular butterfly spread. Read the tutorial on Put Broken Wing Butterfly Spread.

Put Broken Wing Condor Spread - A Put Condor Spread with a skewed risk/reward profile which makes no losses or even a slight credit when the underlying stock breaks to upside. This is achieved by buying further strike out of the money put options than a regular put condor spread. Read the tutorial on Put Broken Wing Condor Spread.

Put Call Parity - Put Call Parity is an option pricing concept that requires the extrinsic values of call and put options to be in equilibrium so as to prevent arbitrage. Put Call Parity는 일류 가격의 법칙이라고도합니다. Read About Put Call Parity Here.

Put Call Ratio - The ratio of the number of open put options against the number of open call options. The higher the resulting number, the more put options are bought or shorted on the underlying asset. For daily total equity put call ratio, please visit Option Trader's HQ. Read more about Put Call Ratio.

Put Option - An option granting the holder the right to sell the underlying security at a certain price for a specified period of time. See also Call. Read About Put Options Here.

Put Ratio Backspread - A credit options trading strategy with unlimited profit to downside and limited profit to upside through buying more out of the money puts than in the money puts are shorted. Read the tutorial on Call Ratio Backspread.

Put Ratio Spread - A credit options trading strategy with the ability to profit when a stock goes up, down or sideways through shorting more out of the money puts than in the money puts are bought. Read the tutorial on Put Ratio Spread.

Quadruple Witching - The third Friday of March, June, September and December when Index Futures, Index Options, Stock Futures and Stock Options expire. This is one of the most volatile trading days of the year, with exceptionally high trading volume. Read all about Quadruple Witching.

Quarterlies / Quarterly Options - Options with quarterly expiration cycle. Read more about Quarterly Options.

Ratio Backspread - Credit volatile options trading strategy that opens up one leg for unlimited profit through selling a smaller amount of in the money options against the purchase of at the money or out of the money options of the same type. Read the Tutorial on Ratio Backspreads.

Ratio Calendar Combination - A strategy consisting of a simultaneous position of a ratio calendar spread using calls and a similar position using puts, where the striking price of the calls is greater than the striking price of the puts.

Ratio Calendar Spread - Selling more near-term options than longer-term ones purchased, all with the same strike; either puts or calls.

Ratio Spread - Constructed with either puts or calls, the strategy consists of buying a certain amount of options and then selling a larger quantity of out-of-the-money options.

Ratio Strategy - A strategy in which one has an unequal number of long securities and short securities. Normally, it implies a preponderance of short options over either long options or long stock.

Ratio Write - Buying stock and selling a preponderance of calls against the stock that is owned.

Realize (a profit or loss) - The act of closing a position, incurring a profit or a loss. As long as a position is not closed, the profit or loss remains unrealized.

Resistance - A term in technical analysis indicating a price area higher than the current stock price where an abundance of supply exists for the stock, and therefore the stock may have trouble rising through the price.

Reward / Risk Ratio - A gauge of how risky a position can be by dividing its maximum profit potential against the maximum loss potential. A ratio of above 1 means that the potential reward is higher than the potential loss. Read the full tutorial on Calculating Reward Risk Ratio.

Return On Investment (ROI) - The percentage profit that one makes, or might make, on his investment.

Return If Exercised - The return that a covered call writer would make if the underlying stock were called away.

Return If Unchanged - The return that an investor would make on a particular position if the underlying stock were unchanged in price at the expiration of the options in the position.

Reversal - The transformation of a short stock position into a position which is long the stock using options, without closing the original short stock position, through the use of synthetic positions. Read more about reversals and synthetic positions.

Reverse Hedge - A strategy in which one sells the underlying stock short and buys calls on more shares than he has sold short. This is also called a synthetic straddle and is an outmoded strategy for stocks that have listed puts trading.

Reverse Strategy - A general name that is given to strategies which are the opposite of better known strategies. For example, a ratio spread consists of buying calls at a lower strike and selling more calls at a higher strike. A reverse ratio spread also known as a backspread consists of selling the calls at the lower strike and buying more calls at the higher strike. The results are obviously directly opposite to each other.

Risk Graph - A graphical representation of the risk/reward profile of an option position. Learn All About Risk Graphs Now!

Risk Free Return - Profit on a risk free investment instrument such as the Treasury bills. It is a common standard of measuring the opportunity cost of having your money in anything other than Treasury bills.

Roll Down - Close out options at one strike and simultaneously open other options at a lower strike. Read the tutorial about Roll Down.

Roll Forward - Close out options at a near-term expiration date and open options at a longer-term expiration date. Read the tutorial about Roll Forward.

Rolling - A follow up action in which the strategist closes options currently in the position and opens other options with different terms, on the same underlying stock.

Roll Up - Close out options at a lower strike and open options at a higher strike. Read the tutorial about Roll Up.

Rotation - A trading procedure on the option exchanges whereby bids and offers, but not necessarily trades, are made sequentially for each series of options on an underlying stock.

Russell Sage - Renowned American Politician and Financier who introduced OTC call and put options in 1872. Read about the History of Options Trading.

Security / Securities - (finance) A tradable financial instrument signifying ownership in financial assets issued by companies or governments. Such financial assets includes but are not restricted to stocks, bonds, futures and debts.

Sell To Close - Closing a position by selling an option contract you own. Learn About Sell To Close Now!

Sell To Open - Opening a position by selling an option contract to a buyer. Learn About Sell To Open Now!

Selling Climax - Exceptionally heavy volume created when panic-stricken investors dump stocks. Often this marks the end of a bear market and is a spot to buy.

Series - An option contracts on the same underlying stock having the same striking price, expiration date, and unit of trading.

Settlement - The resolution of the terms of an options contract between the holder and the writer when the options contract is exercised. Read the full tutorial on Options Settlement.

Short (to be short) - To Short means to Sell To Open. That means to write or sell an options contract to a buyer. This gives you the obligation to fulfill the exercise of the option should the buyer decides to do so. Read all about Short Options Positions.

Short Backspread - Volatile options strategies which are set up with a net credit and unlimited profit potential in one direction.

Short Calendar Spread - Volatile options strategies that profit primarily through the difference in time decay of long term and short term options, achieved through writing longer term options and buying short term options. Read the full tutorial on Short Calendar Spreads.

Short Horizontal Calendar Call Spread - Short Calendar Spread that uses only call options. Read the full tutorial on Short Horizontal Calendar Call Spreads.

Short Covering - The process of buying back stock that has already been sold short.

Spread - An options position consisting of more than one type of options on a single underlying asset. Read the full tutorial on Options Spreads.

Spread Order - An order to simultaneously transact two or more option trades. Typically, one option would be bought while another would simultaneously be sold. Spread orders may be limit orders, not held orders, or orders with discretion. They cannot be stop orders, however. The spread order may be either a debit or credit.

Spread Strategy - Any option position having both long options and short options of the same type on the same underlying security.

Static Hedging - A hedging technique where a hedging trade is established and held without needing to rebalance.

Stock Options - Options contracts with shares as the underlying asset. Read All About Stock Options.

Stock Replacement Strategy - A trading strategy that seeks to reduce risk and volatility through owning deep in the money call options instead of the stock itself and using the remaining cash for hedging. Read All About Stock Replacement Strategy.

Stock Repair Strategy - An options strategy that aims to recover lost value in a stock quickly through writing call options against it. Read All About Stock Repair Strategy.

Stop Limit Order - Similar to a stop order, the stop-limit order becomes a limit order, rather than a market order, when the security trades at the price specified on the stop. Read All About Options Stop Loss Here!

Stop Order - A traditional stop loss method which closes a position when a predetermined price is hit. Read All About Options Orders Here!

Straddle - The purchase or sale of an equal number of puts and calls having the same terms.

Strip Straddle - A Straddle with more put options than call options. Read the full tutorial on Strip Straddle.

Strap Straddle - A Straddle with more call options than put options. Read the full tutorial on Strap Straddle.

Strategy - With respect to option investments, a preconceived, logical plan of position selection and follow-up action.

Strike Arbitrage - An options arbitrage strategy that locks in discrepancies in options pricing between strike prices for a risk-free arbitrage. Read More About Strike Arbitrage.

Strike Price - The price at which the buyer of a call can purchase the stock during the life of the option or the price at which the buyer of a put can sell the stock during the life of the option. Read More About Strike Prices.

Structured Warrants - An alternative to stock options which works almost exactly like stock options and traded in markets such as the Singapore market. See how Structured Warrants Are Traded In The Singapore Market.

Support - A term in technical analysis indicating a price area lower than the current price of the stock, where demand is thought to exist. Thus a stock would stop declining when it reached a support area. See also Resistance.

Swing Trading - A trading methodology that trades short term price swings for short term profits. Read more about Options Trading Styles.

Synthetic Position - A combination of stocks and/or options that return the same payoff characteristics of another stock or option position.

Synthetic Put - A security which some brokerage firms offer to their customers. The broker sells stock short and buys a call, while the customer receives the synthetic put. This is not a listed security, but a secondary market is available as long as there is a secondary market in the calls.

Synthetic Stock - An option strategy that is equivalent to the underlying stock. A long call and a short put is synthetic long stock. A long put and a short call is synthetic short stock.

Synthetic Short Straddle - A combination of stocks and call options which produces the same payoff characteristics as a Short Straddle. 합성 짧은 걸음에 대해 자세히 알아보십시오.

Synthetic Straddle - A combination of stocks and call options which produces the same payoff characteristics as a Long Straddle. Synthetic Straddle에 대해 자세히 알아보십시오.

Systematic Risk / Systemic Risk - Overall market risk that cannot be diversified away using a diversified portfolio based in the same market.

Take Delivery - To fulfill the obligation of buying stocks when put options that you sold becomes exercised.

Technical Analysis - The method of predicting future stock price movements based on observation of historical stock price movements.

Thales of Miletus - The creator of options back in 332BC. 옵션 거래 내역에 대해 읽어보십시오.

Theoretical Value - The price of an option, or a spread, as computed by a mathematical model.

Theta - One of the 5 option greeks. Theta determines the rate of time decay of an option contract's premium. For more details on how Theta works and how it is calculated, please visit Option Greeks.

Ticker Symbol - Symbol representing the shares and options of a company's shares traded in the stock market. MSFT is the ticker symbol for Micrsoft shares while MSQFB is the ticker symbol for Microsoft's June29Call options.

Time Decay - The reduction of a stock option's extrinsic value as expiration date draws nearer. See "Theta" above. Read the full tutorial on Time Decay.

Time Spread - see Calendar Spread. Read the full tutorial on Time Spreads.

Time Value - Also known as "Premium Value" or "Extrinsic Value". It is the difference between an option's price and the intrinsic value. Read more about how Stock Options Are Priced.

Topping Out - A peak point where the sellers begin to outnumber the buyers.

Total Return Concept - A covered call writing strategy in which one views the potential profit of the strategy as the sum of capital gains, dividends, and option premium income, rather than viewing each one of the three separately.

Trading Limit - The exchange imposed maximum daily price change that a futures contract or futures option contract can undergo.

Trend - The direction of a price movement. A trend in motion is assumed to remain intact until there is a clear change.

Triple Witching - Prior to 2001. The third Friday of March, June, September, and December, when stock options, index futures and options on index futures expire. After 2001, the introduction of Single Stock Futures transformed Triple Witching into Quadruple Witching as single stock futures expire on the third Friday of every quarterly month as well.

Type - The designation to distinguish between a put or call option.

Uncovered Option - A written option is considered to be uncovered if the investor does not have a corresponding position in the underlying security.

Underlying Asset - The security which one has the right to buy or sell via the terms of a listed option contract. An underlying asset can be any financial instrument on which option contracts can be written based on. Some examples are : Stocks, ETFs, Commodities, Forex, Index.

Undervalued - Describing a security that is trading at a lower price than it logically should. Usually determined by the use of a mathematical model.

Variable Ratio Write - An option strategy in which the investor owns 100 shares of the underlying security and writes two call options against it, each option having a different striking price.

Vertical Spread - Any option spread strategy in which the options have different striking prices, but the same expiration date. Read the full tutorial on Vertical Spreads.

Vertical Ratio Spread - Vertical spreads that buy and short an unequal number of options on each leg. Read the full tutorial on Vertical Ratio Spreads.

VIX - An index measuring the level of implied volatility in US index options and is used as a measurement of volatility in the US stock market. Read More About VIX.

VIX Options - Non-equity options based on the CBOE VIX. Read More About VIX Options.

Volatile - A stock or market that is expected to move up or down unexpectedly or drastically is known as a volatile market or stock.

Volatile Strategy - An option strategy that is constructed to profit no matter if the underlying stock moves up or down quickly. Read All About Volatile Option Strategies.

Volatility - A measure of the amount by which an underlying security is expected to fluctuate in a given period of time. Generally measured by the annual standard deviation of the daily price changes in the security, volatility is not equal to the Beta of the stock. Read More About Volatility.

Volatility Crunch - A sudden, dramatic, drop in implied volatility resulting in a sharp reduction in extrinsic value and hence the price of options. Read More About Volatility Crunch.

Volatility Index - Also known as VXN, is an index by the CBOE that measures volatility in the market using implied volatility of S&P500 stock index options.

Volatility Skew - A graphical characteristic of the implied volatility of options of the same underlying asset across different strikes forming a right skewed curve. Read More About Volatiliy Skew.

Volatility Smile - A graphical characteristic of the implied volatility of options of the same underlying asset across different strikes forming the concave shape of a smile. Read More About Volatiliy Smile.

Volume - The number of transactions that took place in a trading day. Read More About Volume and Open Interest.

Write - To short an option. This is the act of creating a new options contract and selling it in the exchange using the Sell To Open order. The person who writes an option is known as the "Writer". Read the full tutorial on Options Writing.

WALK LIMIT® Order - WALK LIMIT® is a registered U. S trademark of optionsXpress Holdings Inc. covering securities and commodities trading and investment services and software. One of the services offered under the WALK LIMIT® mark is a type of automated limit order that "walks" your order from the National Best Bid or Offer (NBBO) in prescribed time and price increments up to (or down to) the asking price (bid price) in order to save you time while attempting to get the best fill prices for the orders.

제작품.

옵션 지향 용어와 정의에 대한 포괄적 인 목록입니다.

이 옵션 거래 조건은 당사 웹 사이트 및 다양한 발행물에서 일정한 빈도로 사용됩니다.

할당.

옵션의 판매자 (또는 작가)에게 그가 주식을 팔고 (콜 할당) 또는 주식을 사야 할 의무를 이행해야한다는 통지를받는 프로세스 (과제 제출).

Backspread.

In-The-Money 옵션이 판매되고 더 많은 양의 Out-of-The-Money 옵션이 구입되는 모든 스프레드. 보다 일반적인 의미에서 시장이 휘발성이 될 때 돈을 벌 수있는 전략을 의미 할 수 있습니다.

곰이 퍼졌다.

근본적인 주식이나 미래가 가격이 하락하면 돈을 벌 수있는 스프레드. 일반적으로 파업을 한 번에 구매하고 비슷한 수의 파 트를 낮은 파업으로 판매함으로써 구성됩니다.

심지어 브레이크 포인트.

전략이나 직책이 돈을 벌거나 잃지 않는 지점 (일반적으로 옵션의 만료일).

황소가 퍼졌다.

근본적인 주식이나 미래가 가격이 상승하면 돈을 벌 수있는 스프레드. 일반적으로 특정 스트라이크에서 통화를 구매하고 더 높은 스트라이크에서 같은 수의 통화를 판매합니다.

캘린더 확산.

한 번의 파업으로 옵션을 팔고 동일한 성격의 가격으로 더 오래 성숙 된 옵션을 사는 퍼짐. 중립적 인 일정에서, 동일한 양의 옵션을 반드시 사고 파는 것은 아닙니다. 스프레드는 풋 (put) 또는 콜 (call)로 구성 될 수 있지만 혼합되지는 않습니다. 즉, 한 사람이 전화를 사면, 그는 그 사건에 연루된 전화를 판매하기위한 전화를 판매합니다.

재고 나 실제 상품으로 전환되는 것이 아니라 만료일에 현금으로 결제하는 옵션 또는 미래.

거래 종료.

투자자의 지위를 떨어 뜨리는 무역. 구매 거래를 닫음으로써 단 포지션이 줄어들고, 닫히는 매매 거래는 기존의 긴 포지션을 감소시킵니다.

서로 나란한.

마진이있는 유가 증권의 대출 가치; 일반적으로 알몸 옵션 작성에 사용됩니다.

Contrarian.

대중의 대중적 의견이 잘못되었다고 생각하는 사람은 그 의견에 반하는 것으로 간주됩니다. 모두가 완고하면, contrarian는 판매 신호로 그것을 해석 할 것이다.

1) 작성된 옵션을 다시 사십시오. 2) 기본 주식 또는 선물의 기존 포지션에 대한 옵션을 매도하는 것.

적용 옵션.

투자자가 근본적인 증권에 상쇄 될 수있는 경우 서면 옵션이 적용되는 것으로 간주됩니다. 서면 통화는 긴 주식으로 보호됩니다. 쓰여진 풋은 짧은 주식으로 덮여있다.

덮여 쓰기.

일반적으로 하나는 주식이나 미래가 길고 같은 수의 호출이 짧은 전략을 나타냅니다.

계정에서받은 돈. 스프레드가 "신용으로"행해지면 판매 된 옵션의 달러는 구입 한 옵션의 비용보다 큽니다.

계정에서 지출 된 돈. 직불 스프레드를 설정하려면 달러를 지출해야합니다.

기본 보안이 하나의 가격으로 움직이는 경우 옵션 가격이 변경되는 금액입니다. '위치 델타'도 참조하십시오.

옵션은 내재 가치보다 적은 가격으로 판매하는 경우 할인 거래를합니다. 예제 XYZ는 55이고 Jan 50 호출은 4 & frac12입니다. 이것은 & frac12; 내재 가치가 55 & 마이너스이기 때문에 포인트 할인. 50 = 5이다.

조기 운동이나 배정.

만료일 이전에 옵션을 행사 또는 양도하는 행위. 유럽 ​​옵션으로 알려진 특정 옵션에는 허용되지 않습니다.

주식 옵션.

기본 보안을 기본 재고로 보유하는 옵션.

등가 위치.

두 가지 전략은 만료시 동일한 수익 가치가있는 경우 동등합니다. 나체 풋을 팔면 커버 된 콜을 쓰는 것과 같습니다. 주식과 풋을 사는 것은 콜을 사는 것과 같습니다.

유럽 ​​운동.

일부 옵션의 기능으로 만료시에만 사용할 수 있지만 이전에는 사용할 수 없습니다. 따라서 유럽의 옵션을 조기에 지정할 수는 없습니다. 많은 인덱스 옵션이이 기능을 가지고 있습니다.

주식 (콜)을 사거나 주식 (풋)을 팔 수있는 권리자의 권리.

기대 수익.

한 위치에서 산출 할 수있는 수익의 수학적 추정입니다. 투자자가 역사적으로 여러 번 똑같은 투자를해야한다면 기술적으로 수익이 기대됩니다. 기대 수익률이 높은 직책에 꾸준히 투자한다면, 그는 평균적으로 기대 수익률보다 뛰어나다.

만료일.

옵션 계약이 무효화되는 날짜. 주식 및 지수 옵션의 경우 만기 월의 세 번째 금요일 이후 토요일입니다. 선물 옵션의 경우 각 옵션이 다릅니다. 그러나 대부분의 상품 기반 선물 옵션은 미래가 만료되기 전 달에 만료됩니다.

공정 가치.

옵션 또는 선물 계약의 이론적 가치를 설명하는 데 사용되는 용어. 일반적으로 수학적 모델에 의해 결정되며 때로는 휘발성이 주관적인 변수가됩니다.

미래의 특정 날짜에 지정된 수량의 상품 인도를 요구하는 표준화 된 계약. 경우에 따라 계약은 현금으로 이루어 지므로 실제로 상품이 제공되지 않습니다. 계약은 현금으로 처리됩니다.

선물 옵션.

선물 계약을 기본 증권으로하는 옵션.

기본 재고가 한 포인트 씩 이동하면 델타가 변경되는 금액입니다. 델타 참조.

역사적 변동성.

과거 주가 데이터를 사용하여 결정된 기본 주식 또는 선물 계약의 변동성 측정입니다.

내재적 인 변동성.

기본 주식 또는 선물 계약의 변동성을 측정합니다. 과거 데이터 가격 변화를 사용하는 대신 현재 시장에 현재 존재하는 가격을 사용하여 결정됩니다.

색인 미래 또는 옵션.

기본 엔티티가 색인 인 미래 또는 옵션. 대부분의 지수 선물 및 옵션은 현금을 기반으로하기 때문에 인덱스 자체의 주식보다는 만기가되면 현금으로 결제됩니다.

돈 내에서.

본질적인 가치가있는 옵션을 설명하는 용어. 주식 또는 미래가 현저한 가격보다 높게 거래되고 있다면 통화는 인 - 돈 (in-the-money)입니다. 주가가 현저한 가격보다 낮게 거래되고 있다면 풋은 돈이된다.

시장 간 퍼짐.

두 가지 다른 시장에서의 계약을 포함하는 스프레드. 일반적으로 선물 계약을 나타냅니다. 예를 들어, 하나는 긴 Deutschmark 선물이고 짧은 엔 선물은 위험 회피입니다.

시장 내 확산.

동일한 기본 상품에 대해 서로 다른 계약이 수반되는 스프레드. 예를 들어 7 월의 대두, 짧은 5 월 대두.

본질적 가치.

옵션의 금액 - 인 - 돈; 절대 음수가 아닙니다. 통화의 경우, 주식 또는 선물 가격과 현저한 가격의 차이; 풋에 대해 현물 가격과 주식 또는 선물 가격의 차이.

주문 제한.

특정 가격으로 구매 또는 판매하는 주문. 제한 구매 주문은 현재 시장 가격보다 낮게 설정됩니다. 한계 판매 주문은 현재 시장 가격보다 높게 설정됩니다.

중개 회사에서 요구하는 투자. 긴 옵션은 전액 지불해야합니다. 선물 계약과 벌거 벗은 옵션은 차익 거래됩니다. 이런 의미에서 브로커로부터 돈을 빌려 오지는 않습니다. 오히려 증거금은 잠재적 인 손실에 대비 한 담보의 예금입니다.

이동 평균.

특정 시간대에 대한 마감 가격의 평균. 매시간, 매일, 매주 또는 매월이 될 수 있습니다. 주가의 200 일 이동 평균은 때로는 상당한지지 또는 저항으로 간주됩니다.

알몸의 옵션.

투자자가 기본 주식 또는 선물에 상쇄 할 수있는 지위를 가지고 있지 않은 경우 서면 옵션은 적나라한 것으로 간주됩니다. 보상 옵션을 참조하십시오.

시장의 특정 요인에 노출되지 않은 직책을 기술합니다. 예를 들어, 델타 중립은 단기 시장 움직임에 의해 포지션이 영향을받지 않는다는 것을 의미합니다. 감마 중립은 더 큰 시장 움직임에도 영향을받지 않을 것임을 의미합니다. 베가 중립은 포지션이 내재 변동성의 변화에 ​​영향을받지 않는다는 것을 의미합니다.

거래 개시.

투자자의 순수한 지위에 추가되는 무역; 오프닝 매수는 더 긴 옵션이나 선물을 추가하는 반면 오프닝 매도는 더 짧은 주식 또는 선물을 추가합니다.

열린 관심.

구매 된 미결제 선물 또는 옵션 계약의 순액. 매 매 매 매 매 매 매도 매도 가능 매물이 있지만 매수가 아닌 매수가 한면을 계산합니다.

밖에서 돈.

현재 고유 값이없는 옵션을 설명합니다. 통화의 경우, 주식이나 미래가 파업 아래에있을 때; 주식이나 미래가 파업보다 높을 때 투입한다.

내재 가치를 위해 거래하는 in-the-money 옵션을 설명합니다. 또한 참조 포인트로 사용됩니다 - 옵션은 "특정 패리티"또는 "패리티 미만"의 특정 거리에서 거래되는 경우가 있습니다. 패리티 아래 거래되는 옵션은 할인 거래입니다.

이익 그래프.

직책의 잠재적 인 잠재력을 그래픽으로 표현한 것. 일반적으로 주식 또는 미래 가격은 가로축에 표시되고 손익의 달러는 세로축에 표시됩니다. 결과는 어느 시점에서든 그려 질 수 있습니다. 일반적으로 The Option Strategist에서는 이익 그래프에 2 주 후에 예상되는 결과와 가장 가까운 옵션의 만료 시점에 예상되는 결과가 표시됩니다.

위치 델타.

시장 운동에 대한 전체 옵션 포지션의 노출 정도. 그것은 위치 수량 및 시간의 모든 옵션에 대해 다음을 합산하여 계산됩니다. 델타 & times; 옵션 당 주식.

옵션에 대해 말할 때 가격에 대한 또 다른 단어.

푸트 콜 비율.

다가오는 시장 움직임을 예측하기 위해 때때로 역 논리적인 지표로 사용되는 옵션 거래량의 척도. 비율은 풋의 거래량을 콜의 거래량으로 나누어 계산합니다. 예를 들어, 금 선물에 대한 옵션과 같은 특정 경우에 사용할 수 있습니다. 또한 모든 거래에서 주식을 거래하는 모든 풋의 총 거래량을 거래 된 모든 통화로 나누어 광의의 의미로 사용할 수도 있습니다. 비율이 너무 높아지면 너무 많은 사람들이 풋을 사주고 있음을 나타냅니다. 이것은 역 투자 지표이므로 구매 신호가됩니다. 반대로 너무 많은 전화를 사면 비율이 너무 낮아 일반적으로 판매 신호가됩니다.

비율 확산.

판매 된 옵션의 수가 구매 한 수보다 많은 스프레드. 따라서 전략에는 알몸 옵션이 포함됩니다. backspread를 참조하십시오.

저항.

기술 분석에서의 용어로, 풍부한 공급이있는 현재 주가보다 높은 가격 영역을 나타냅니다. 따라서 주식이나 미래는 저항 가격으로 인해 어려움을 겪을 수 있습니다.

옵션을 닫고 동일한 기본 보안에있는 다른 옵션에서 비슷한 위치를 다시 설정하려면 긴 전화를 거는 데는 자신이 소유 한 전화를 팔고 일반적으로 통화가 많을 때 또는 만료 될 시간이 길어 지거나 다른 통화를 구매할 수 있습니다.

같은 기본 보안에 대해 다른 가격으로 옵션의 변동성을 나타내는 용어. 각 파업에서 묵시적인 변동성이 다른 경우 변동성이 있다고합니다.

옵션의 경우 동일한 기본 주식 또는 선물 계약에 동일한 유형 (Put 또는 Call)의 Long 옵션과 Short 옵션을 모두 보유한 옵션 포지션. 선물의 경우 동일한 상품 또는 다른 관련 상품에 대해 서로 다른 월간 또는 장기 선물을 포함하는 모든 포지션.

주문을 중지하십시오.

주식 또는 미래가 중지 명령에 지정된 가격으로 거래 될 때 시장 주문이되는 주문. 구매 주문은 현재 시장 가격보다 높습니다. 판매 중지 주문은 현재 시장 가격보다 낮게 책정됩니다.

같은 입장의 가격으로 시장의 같은면에 풋과 콜을 모두 포함하는 포지션. 예를 들어, 긴 스 트래들에는 풋과 콜을 모두 똑같은 가격으로 구입하는 것이 포함됩니다.

수요가 존재한다고 생각되는 주식 또는 미래의 현재 가격보다 낮은 가격 영역을 나타내는 기술적 분석 용어. 따라서 주식 또는 선물 계약은 지원 지역에 도달하면 하락을 멈출 것이다.

기술 분석.

역사적 가격 움직임의 관측을 기반으로 미래 가격 움직임을 예측하는 방법. 주식 또는 선물에 적용됩니다.

이론적 가치.

수학적 모델에 의해 계산 된 옵션 또는 스프레드의 가격. 공정 가치 참조.

발견 된 옵션.

알몸의 옵션을보십시오.

기본 보안.

특정 일련의 옵션의 기초가되는 주식, 인덱스 또는 선물 계약을 나타내는 데 사용되는 광범위한 용어.

기본 보안의 변동성이 1 % 변경 될 때 옵션 가격이 변경되는 금액을 설명하는 용어입니다.

휘발성.

기본 보안이 일정 기간 변동될 것으로 예상되는 금액을 측정합니다. 비뚤어 짐을 참조하십시오.

주식, 옵션 또는 미래의 거래량. 주식 옵션의 초과 거래량은 기본 주식 가격의 움직임을 예고 할 수 있습니다. 통화에서 비정상적으로 무거운 거래를 발견 할 수있는 경우 이는 기본 주식에 대한 매수 신호가 될 수 있습니다.

옵션 판매. 판매하는 투자자를 작가라고합니다.

제품 카테고리.

마진에 관계없이 거래 또는 투자는 높은 위험도를 지니 며 모든 사람에게 적합하지 않을 수 있습니다. 레버리지는 당신뿐만 아니라 당신을 도울 수 있습니다. 거래 또는 투자를 결정하기 전에 투자 목표, 경험 수준 및 위험을 용인하는 능력을 신중하게 고려해야합니다. 초기 투자액의 일부 또는 전부를 상실하거나 초기 투자액보다 많은 손실을 견딜 수있는 가능성이 있으므로 손실을 감당할 수없는 돈을 투자해서는 안됩니다. 거래 및 투자와 관련된 모든 위험을 인식하고 의심이들 경우 독립적 인 재무 고문에게 조언을 구해야합니다. 과거 실적이 반드시 미래 결과를 나타내는 것은 아닙니다.

증명서 : 증명서는 증명서를 제공하는 사람들의 진술에 근거하여 진실하다고 믿어진다. 그러나 증명서에 명시된 사실들은 독립적으로 감사 또는 확인되지 않았다. 또한 어떤 증언이 여기에 설명 된 방법을 사용하는 모든 사람의 경험을 대표하는지 또는 증언이 제공된 후 증언을 제공하는 사람의 경험을 비교하는지에 대한 시도가 없었습니다. 반드시 동일하거나 유사한 결과를 기대해서는 안됩니다.

성과 결과 : 자문 서비스 및 교육 제품에 대한 과거 실적 결과는 예시와 예제로 제시된 것이며 가설적인 내용입니다.

역기능 성과는 많은 내재적 인 제한이 있으며 그 중 일부는 아래에 설명되어 있습니다. 어떠한 계정도 이익이나 손실을 달성 할 가능성이있는 것으로 나타나지 않습니다. 사실상, 실적 실적과 특정 거래 프로그램에 의해 흔히 성취되는 실제 결과의 차이는 종종 상이합니다.

외상 성과 결과의 제한 중 하나는 일반적으로 통찰력의 혜택과 함께 준비된다는 것입니다. 또한 HYPOTHETICAL TRADING은 재무 위험을 포함하지 않으며 HYPOTHITICAL TRADING RECORD는 실제 거래에서 재무 위험의 영향을 완전히 설명 할 수 없습니다. 예를 들어, 손실을 저 지르거나 거래 손실이있는 특정 거래 프로그램에 참석할 수있는 능력은 실제 거래 결과에 약간의 영향을 미칠 수있는 자료 포인트입니다. 일반적으로 시장에 관련된 수많은 요인들이 있으며, 실적 실적을 준비하는 데있어 완전한 회계 프로그램을 수립 할 수 없으며, 실제 거래 결과에 부정적 영향을 미칠 수있는 모든 특정 거래 프로그램의 구현과 관련되어 있습니다.

&부; 2015 옵션 전략가 | McMillan Analysis Corporation.

Options Glossary.

Adjustments.

A change to contract terms due to a corporate action (e. g., a merger or stock split). Depending on the corporate action, different contract terms (including strike price, deliverable, expiration date, multiplier etc.) could be adjusted. An adjusted option may cover more or less than the usual 100 shares. For example, after a 3-for-2 stock split, the adjusted option will represent 150 shares. For such options, the premium must be multiplied by a corresponding factor. Example: buying 1 call (covering 150 shares) at 4 would cost $600.

All-or-none order (AON)

A type of option order which requires that the order be executed completely or not at all. An AON order may be either a day order or a GTC (good-‘til-cancelled) order.

American-style option.

An option that can be exercised at any time prior to its expiration date. See also European-style option.

A trading technique that involves the simultaneous purchase and sale of identical assets or equivalent assets in two different markets with the intent of profiting by the price discrepancy.

Ask / Ask price.

The price at which a seller is offering to sell an option or a stock. See also Assignment.

Assigned (an exercise)

Received notification of an assignment by OCC. See also Assignment.

할당.

Notification by OCC to a clearing member that an owner of an option has exercised their rights. For equity and index options, OCC makes assignments on a random basis. See also Delivery and Exercise.

At-the-money / At-the-money option.

A term that describes an option with a strike price that is equal to the current market price of the underlying stock.

Averaging down.

Buying more of a stock or an option at a lower price than the original purchase to reduce the average cost.

Backspread.

A Delta-neutral spread composed of more long options than short options on the same underlying instrument. This position generally profits from a large movement in either direction in the underlying instrument.

Cboe Bats BZX Options Exchange.

Bear (or bearish) spread.

One of a variety of strategies involving two or more options (or options combined with a position in the underlying stock) that can potentially profit from a fall in the price of the underlying stock.

Bear spread (call)

The simultaneous writing of one call option with a lower strike price and the purchase of another call option with a higher strike price. Example: writing 1 XYZ May 60 call and buying 1 XYZ May 65 call.

Bear spread (put)

The simultaneous purchase of one put option with a higher strike price and the writing of another put option with a lower strike price. Example: buying 1 XYZ May 60 put and writing 1 XYZ May 55 put.

An adjective describing the opinion that a stock, or a market in general, will decline in price; a negative or pessimistic outlook.

A measure of how closely the movement of an individual stock tracks the movement of the entire stock market.

Bid / Bid Price.

The price at which a buyer is willing to buy an option or a stock.

Black-Scholes formula.

The first widely used model for option pricing. This formula is used to calculate a theoretical value for an option using current stock prices, expected dividends, the option's strike price, expected interest rates, time to expiration and expected stock volatility. While the Black-Scholes model does not perfectly describe real-world options markets, it is often used in the valuation and trading of options.

BOX Options Exchange.

Box spread.

A four-sided option spread that involves a long call and a short put at one strike price in addition to a short call and a long put at another strike price. Example: buying 1 XYZ May 60 call and writing 1 XYZ May 65 call; simultaneously buying 1 XYZ May 65 put and writing 1 May 60 put.

Break-even point(s)

The stock price(s) at which an option strategy results in neither a profit nor a loss. While a strategy's break-even point(s) are normally stated as of the option's expiration date, a theoretical option pricing model can be used to determine the strategy's break-even point(s) for other dates as well.

A person acting as an agent for making securities transactions. An account executive or a broker at a brokerage firm who deals directly with customers. A floor broker on the trading floor of an exchange actually executes someone else's trading orders.

Bull (or bullish) spread.

One of a variety of strategies involving two or more options (or options combined with an underlying stock position) that may potentially profit from a rise in the price of the underlying stock.

Bull spread (call)

The simultaneous purchase of one call option with a lower strike price and the writing of another call option with a higher strike price. Example: buying 1 XYZ May 60 call and writing 1 XYZ May 65 call.

Bull spread (put)

The simultaneous writing of one put option with a higher strike price and the purchase of another put option with a lower strike price. Example: writing 1 XYZ May 60 put, and buying 1 XYZ May 55 put.

An adjective describing the opinion that a stock, or the market in general, will rise in price; a positive or optimistic outlook.

Butterfly spread.

A strategy involving three strike prices with both limited risk and limited profit potential. Establish a long call butterfly by buying one call at the lowest strike price, writing two calls at the middle strike price and buying one call at the highest strike price. Establish a long put butterfly by buying one put at the highest strike price, writing two puts at the middle strike price and buying one put at the lowest strike price. For example, a long call butterfly might include buying 1 XYZ May 55 call, writing 2 XYZ May 60 calls and buying 1 XYZ May 65 call.

A covered call position that includes a stock purchase and an equivalent number of calls written at the same time. This position may be a combined order with both sides (buying stock and writing calls) executed simultaneously. Example: buying 500 shares XYZ stock and writing 5 XYZ May 60 calls. See also Covered call / Covered call writing.

Cboe C2 Options Exchange.

캘린더 확산.

An option strategy that generally involves the purchase of a longer-termed option(s) (call or put) and the writing of an equal number of nearer-termed option(s) of the same type and strike price. Example: buying 1 XYZ May 60 call (far-term portion of the spread) and writing 1 XYZ March 60 call (near-term portion of the spread). See also Horizontal spread.

통화 옵션.

An option contract that gives the owner the right but not the obligation to buy the underlying security at a specified price (its strike price) for a certain, fixed period (until its expiration). For the writer of a call option, the contract represents an obligation to sell the underlying product if the option is assigned.

Carry / Carrying cost.

The interest expense on money borrowed to finance a securities position.

Cash settlement amount.

The difference between the exercise price of the option being exercised and the exercise settlement value of the index on the day the index option is exercised. See also Exercise settlement amount.

Cboe Board Options Exchange.

Class of options.

A term referring to all options of the same type (either calls or puts) covering the same underlying stock.

Close / Closing transaction.

A reduction or an elimination of an open position by the appropriate offsetting purchase or sale. A selling transaction closes an existing long option position. A purchase transaction closes an existing short option position. This transaction reduces the open interest for the specific option involved.

종가.

The final price of a security at which a transaction was made. See also Settlement price.

A protective strategy in which a written call and a long put are taken against a previously owned long stock position. The options typically have different strike prices (put strike lower than call strike). Expiration months may or may not be the same. For example, if the investor previously purchased XYZ Corporation at $46 and it rose to $62, the investor could establish a collar involving the purchase of a May 60 put and the writing of a May 65 call to protect some of the unrealized profit in the XYZ Corporation stock position. The investor may also use the reverse (a long call combined with a written put) if he has previously established a short stock position in XYZ Corporation. See also Fence.

서로 나란한.

Securities against which loans are made. If the value of the securities (relative to the loan) declines to an unacceptable level, this triggers a margin call. As such, the investor is asked to post additional collateral or the securities are sold to repay the loan.

콤비네이션.

An arrangement of options involving two long, two short, or one long and one short positions. The positions can have different strikes or expiration months. The term combination varies by investor. Example: a long combination might be buying 1 XYZ May 60 call and selling 1 XYZ May 60 put.

Condor spread.

A strategy involving four strike prices with both limited risk and limited profit potential. Establish a long call condor spread by buying one call at the lowest strike, writing one call at the second strike, writing another call at the third strike, and buying one call at the fourth (highest) strike. This spread is also referred to as a flat-top butterfly.

Contingency order.

An order to execute a transaction in one security that depends on the price of another security. An example might be to sell the XYZ May 60 call at $2.00, contingent upon XYZ stock being at or below $59.

Contract size.

The amount of the underlying asset covered by the option contract. This is 100 shares for 1 equity option unless adjusted for a special event. See also Adjustments.

변환.

An investment strategy in which a long put and a short call with the same strike price and expiration combine with long stock to lock in a nearly riskless profit. For example, buying 100 shares of XYZ stock, writing 1 XYZ May 60 call and buying 1 XYZ May 60 put at desirable prices. The process of executing these three-sided trades is sometimes called conversion arbitrage. See also Reversal / Reverse conversion.

To close out an open position. This term most often describes the purchase of an option or stock to close out an existing short position for either a profit or loss.

Covered call / Covered call writing.

An option strategy in which a call option is written against an equivalent amount of long stock. Example: writing 2 XYZ May 60 calls while owning 200 shares or more of XYZ stock. See also Buy-write and Overwrite.

Covered combination.

A strategy in which one call and one put with the same expiration, but different strike prices, are written against each 100 shares of the underlying stock. Example: writing 1 XYZ May 60 call and writing 1 XYZ May 55 put, and buying 100 shares of XYZ stock. In actuality, this is not a fully covered strategy because assignment on the short put requires purchase of additional stock.

적용 옵션.

An open short option position completely offset by a corresponding stock or option position. A covered call could be offset by long stock or a long call, while a covered put could be offset by a long put or a short stock position. This insures that if the owner of the option exercises, the writer of the option will not have a problem fulfilling the delivery requirements. See also Uncovered call option writing and Uncovered put option writing.

Covered put / Covered cash-secured put.

The cash-secured put is an option strategy in which a put option is written against a sufficient amount of cash (or Treasury bills) to pay for the stock purchase if the short option is assigned.

Covered straddle.

An option strategy in which one call and one put with the same strike price and expiration are written against each 100 shares of the underlying stock. Example: writing 1 XYZ May 60 call and 1 XYZ May 60 put, and buying 100 shares of XYZ stock. In actuality, this is not a fully covered strategy because assignment on the short put requires purchase of additional stock.

Money received in an account either from a deposit or from a transaction that results in increasing the account's cash balance.

Credit spread.

A spread strategy that increases the account's cash balance when established. A bull spread with puts and a bear spread with calls are examples of credit spreads.

A measure of the rate of change in an option's Delta for a one-unit change in the price of the underlying stock. See also Delta.

The expiration dates applicable to the different series of options. Traditionally, there were three cycles:

Today, most equity options expire on a hybrid cycle, which involves four option series: the two nearest-term calendar months and the next two months from the traditional cycle to which that class of options has been assigned. For example, on January 1, a stock in the January cycle will be trading options expiring in these months: January, February, April and July. After the January expiration, the months outstanding will be February, March, April and July.

A type of option order that instructs the broker to cancel any unfilled portion of the order at the close of trading on the day the order was first entered.

A position (stock or option) that is opened and closed on the same day.

Money paid out from an account from either a withdrawal or a transaction that results in decreasing the cash balance.

차변 스프레드.

A spread strategy that decreases the account's cash balance when established. A bull spread with calls and a bear spread with puts are examples of debit spreads.

A term used to describe how the theoretical value of an option erodes or declines with the passage of time. Time decay is specifically quantified by Theta.

The process of meeting the terms of a written option contract when notification of assignment has been received. In the case of a short equity call, the writer must deliver stock and in return receives cash for the stock sold. In the case of a short equity put, the writer pays cash and in return receives the stock.

A measure of the rate of change in an option's theoretical value for a one-unit change in the price of the underlying stock.

Derivative / Derivative security.

A financial security whose value is determined in part from the value and characteristics of another security known as the underlying security.

Diagonal spread.

A strategy involving the simultaneous purchase and writing of two options of the same type that have different strike prices and different expiration dates. Example: buying 1 May 60 call and writing 1 March 65 call.

An adjective used to describe an option that is trading at a price less than its intrinsic value (i. e., trading below parity).

Discretion.

Freedom given by an investor to his or her account executive to use judgment regarding the execution of an order. Discretion can be limited, as in the case of a limit order that gives the floor broker price flexibility beyond the stated limit price to use his or her judgment in executing the order. Discretion can also be unlimited, as in the case of a market-not-held order.

Early exercise.

A feature of American-style options that allows the owner to exercise an option at any time prior to expiration.

Cboe EDGX 옵션 교환.

In a margin account, equity is the difference between the securities owned and the margin loans owed. The investor keeps this amount after all positions are closed and all margin loans paid off.

Equity option.

An option on shares of an individual common stock or exchange traded fund.

Equivalent strategy.

A strategy that has the same risk-reward profile as another strategy. For example, a long May 60-65 call vertical spread is equivalent to a short May 60-65 put vertical spread. See also Synthetic position.

European-style option.

An option that can be exercised only during a specified period just prior to expiration. See also American-style option.

Ex-date / Ex-dividend date.

The day before the date that an investor must have purchased the stock in order to receive the dividend. On the ex-dividend date, the previous day's closing price is reduced by the amount of the dividend because purchasers of the stock on the ex-dividend date will not receive the dividend payment. This date is sometimes referred to simply as the ex-date, and can apply to other situations (e. g., splits and distributions). If you purchase a stock on the ex-date for a split or distribution, you are not entitled to the split stock or that distribution. However, the opening price for the stock will have been reduced by an appropriate amount, as on the ex-dividend date. Weekly financial publications, such as Barron's, often include a stock's upcoming ex-date as part of their stock tables.

Exchange traded funds (ETFs)

Exchange traded funds (ETFs) are index funds or trusts listed on an exchange and traded in a similar fashion as a single equity. The first ETF came about in 1993 with the AMEX's concept of a tradable basket of stocks — Standard & Poor's Depositary Receipt (SPDR). Today, the number of ETFs that trade options continues to grow and diversify. Investors can buy or sell shares in the collective performance of an entire stock portfolio (or a bond portfolio) as a single security. Exchange traded funds allow investors to enjoy some of the more favorable features of stock trading, such as liquidity and ease of equity style, in an environment of more traditional index investing.

To invoke the rights granted to the owner of an option contract. In the case of a call, the option owner buys the underlying stock. In the case of a put, the option owner sells the underlying stock.

Exercise by exception processing.

A procedure used by OCC as an operational convenience for clearing members. Under these proceedings, OCC assumes a clearing member tendered exercise notices for options that are in-the-money by threshold amounts, unless specifically instructed not to do so. This procedure protects the owner from losing the intrinsic value of the option because of failure to exercise. Unless instructed not to do so, all expiring equity options held in customer accounts are exercised if they are in-the-money by a specified amount.

Exercise price.

The price that the owner of an option can purchase (call) or sell (put) the underlying stock. Used interchangeably with strike or strike price.

Exercise settlement amount.

The difference between the exercise price of the option being exercised and the exercise settlement value of the index on the day the index option is exercised.

Expiration cycle.

The expiration dates applicable to the different series of options. Traditionally, there were three cycles:

Today, equity options expire on a hybrid cycle that involves four option series: the two nearest-term calendar months and the next two months from the traditional cycle to which that class of options has been assigned. For example, on January 1, a stock in the January cycle will be trading options expiring in these months: January, February, April and July. After the January expiration, the months outstanding will be February, March, April and July.

만료일.

The date that an option and the right to exercise it cease to exist.

Expiration Friday.

The last business day prior to the option's expiration date during which purchases and sales of options can be made. For equity options, this is generally the third Friday of the expiration month. If the third Friday of the month is an exchange holiday, the last trading day is the Thursday immediately preceding the third Friday.

Expiration month.

The month that the expiration date occurs.

A protective strategy in which a written call and a long put are added to a previously owned long stock position, also referred to as a collar. The options may have the same strike price or different strike prices. The expiration months may or may not be the same. For example, if the investor previously purchased XYZ Corporation at $46 and it rose to $62, an investor could establish a collar involving the purchase of a May 60 put and the writing of a May 65 call as a way of protecting some of the unrealized profit in the XYZ Corporation stock position. An investor might also use the reverse (a long call combined with a written put) if he has previously established a short stock position in XYZ Corporation.

Fill-or-kill order (FOK)

A type of option order that requires that the order be executed completely or not at all. A fill-or-kill order is similar to an all-or-none (AON) order. The difference is that if the order cannot be completely executed (i. e., filled in its entirety) as soon as it is announced in the trading crowd, it is killed (cancelled) immediately. Unlike an AON order, an FOK order cannot be used as part of a good-‘til-cancelled order.

FINRA (Financial Industry Regulatory Authority)

The largest independent regulator for all securities firms doing business in the United States.

Floor broker.

A trader on an exchange floor who executes trading orders for other people.

Floor trader.

An exchange member on the trading floor who buys and sells for their own account.

Fundamental analysis.

A method of predicting stock prices based on the study of earnings, sales, dividends, and so on.

Fungibility.

Interchangeability resulting from standardization. Options listed on national exchanges are fungible, while over-the-counter options generally are not. Classes of options listed and traded on more than one national exchange are referred to as multiple-listed/multiple-traded options.

A measure of the rate of change in an option's Delta for a one-unit change in the price of the underlying stock. See also Delta.

Nasdaq GEMX, LLC.

Good-'til-cancelled (GTC) order.

A type of limit order that remains in effect until it is either executed (filled) or cancelled. This is unlike a day order, which expires if not executed by the end of the trading day. If not executed, a GTC option order is automatically cancelled at the option's expiration.

Hedge / Hedged position.

A position established with the specific intent of protecting an existing position. For example, an owner of common stock may buy a put option to hedge against a possible stock price decline.

Historic volatility.

A measure of actual stock price changes over a specific period. See also Standard deviation.

Any person who has made an opening purchase transaction, call or put, and has that position in a brokerage account.

Horizontal spread.

An option strategy that generally involves the purchase of a farther-term option (call or put) and the writing of an equal number of nearer-term options of the same type and strike price. Example: buying 1 XYZ May 60 call (far-term portion of the spread) and writing 1 XYZ March 60 call (near-term portion of the spread). See also Calendar spread.

Immediate-or-cancel order (IOC)

A type of option order that gives the trading crowd one opportunity to take the other side of the trade. After announcement, the order is either partially or totally filled with any remaining balance immediately cancelled. An IOC order, considered a type of day order, cannot be used as part of a good-‘til-cancelled order since it is cancelled shortly after being entered. The difference between fill-or-kill (FOK) orders and IOC orders is that an IOC order may be partially executed.

Implied volatility.

The volatility percentage that produces the best fit for all underlying option prices on that underlying stock. See also Individual volatility.

In-the-money / In-the-money option.

A term used to describe an option with intrinsic value. For standard options, a call option is in-the-money if the stock price is above the strike price. A put option is in-the-money if the stock price is below the strike price.

A compilation of several stock prices into a single number. Example: the S&P 100 Index.

Index option.

An option whose underlying interest is an index. Generally, index options are cash-settled.

Individual volatility.

The volatility percentage that justifies an option's price, as opposed to historic volatility or implied volatility. A theoretical pricing model can be used to generate an option's individual volatility when the five remaining quantifiable factors (stock price, time until expiration, strike price, interest rates and cash dividends) are entered along with the price of the option itself.

제도.

A professional investment management company. Typically, this term describes money managers such as banks, pension funds, mutual funds and insurance companies.

본질적 가치.

The in-the-money portion of an option's premium. See also In-the-money.

Iron butterfly.

An option strategy with limited risk and limited profit potential that involves both a long (or short) straddle, and a short (or long) strangle. An iron butterfly contains four options. It is equivalent to a regular butterfly spread that contains only three options. For example, a short iron butterfly might include buying 1 XYZ May 60 call and 1 May 60 put, and writing 1 XYZ May 65 call and writing 1 XYZ May 55 put.

ISE Gemini.

Nasdaq GEMX, LLC.

No J Options Glossary Items.

There are currently no glossary items for this letter.

A measure of the rate of change in an option's theoretical value for a one-unit change in the volatility assumption.

A measure of leverage. The expected percentage change in the value of an option for a 1% change in the value of the underlying product.

마지막 거래일.

The last business day before the option's expiration date during which purchases and sales of options can be made. For equity options, this is generally the third Friday of the expiration month. If the third Friday of the month is an exchange holiday, the last trading day is the Thursday immediately preceding the third Friday.

LEAPS® (Long-term Equity AnticiPation Securities) / Long-dated options.

Calls and puts with an expiration of over nine months when listed. Currently, equity LEAPS have two series at any time with a January expiration.

A term describing one side of a position with two or more sides. When a trader legs into a spread, they establish one side first, hoping for a favorable price movement in order to execute the other side at a better price. This is a higher-risk method of establishing a spread position.

A term describing the greater percentage of profit or loss potential when a given amount of money controls a security with a much larger face value. For example, a call option enables the owner to assume the upside potential of 100 shares of stock by investing a much smaller amount than that required to buy the stock. If the stock increases by 10%, for example, the option might double in value. Conversely, a 10% stock price decline might result in the total loss of the purchase price of the option.

주문 제한.

A trading order placed with a broker to buy or sell stock or options at a specific price.

Liquidity / Liquid market.

Trading environments characterized by high trading volume, a narrow spread between the bid and ask prices, and the ability to trade larger sized orders without significant price changes.

Listed option.

A put or call traded on a national options exchange. In contrast, over-the-counter options usually have non-standard or negotiated terms.

Long option position.

The position of an option purchaser (owner) which represents the right to either buy stock (in the case of a call) or to sell stock (in the case of a put) at a specified price (strike price) at or before some date in the future (the expiration date). This position results from an opening purchase transaction (long call or long put).

Long stock position.

A position in which an investor has purchased and owns stock.

Margin / Margin requirement.

The minimum equity required to support an investment position. To buy on margin refers to borrowing part of the purchase price of a security from a brokerage firm.

시장 출시시기.

An accounting process by which the price of securities held in an account are valued each day to reflect the closing price or closing market quotes. As a result, the equity in an account is updated daily to reflect current security prices properly.

Market order.

A trading order placed with a broker to immediately buy or sell a stock or option at the best available price.

Market quote.

Quotations of the current best bid/ask prices for an option or stock in the marketplace (an exchange trading floor). The investor usually obtains this information from a brokerage firm. However, for listed options and stocks, these quotes are widely disseminated and available through various commercial quotation services.

투자 전문가.

An exchange member on the trading floor who buys and sells options for their own account and who has the responsibility of making bids and offers and maintaining a fair and orderly market. See also Specialist / specialist group / specialist system.

Market maker system (competing)

A method of supplying liquidity in options markets by having market makers in competition with one another. As an alternative to a specialist system, they are also responsible for making fair and orderly markets in a given class of options.

Market-not-held order.

A type of market order that allows the investor to give discretion to the floor broker regarding the price and/or time of trade execution.

Market-on-close order (MOC)

A type of option order that requires that an order be executed at or near the close of trading on the day the order is entered.

Married put strategy.

The simultaneous purchase of stock and put options representing an equivalent number of shares. This is a limited risk strategy during the life of the puts because the stock can always be sold for at least the strike price of the purchased puts.

Miami Options Exchange.

A mathematical formula used to calculate the theoretical value of an option. See also Black-Scholes formula.

Multiple-listed / multiple-traded option.

Any option contract listed and traded on more than one national options exchange. See also Fungibility.

Naked or uncovered option.

A short option position that is not fully collateralized if notification of assignment is received. A short call position is uncovered if the writer does not have a long stock or deeper-in-the-money long call position. A short put position is uncovered if the writer is not short stock or long another deeper-in-the-money put.

A national securities exchange (Operated by Nasdaq OMX).

Net credit.

Money received in an account either from a deposit or a transaction that results in increasing the account's cash balance.

Money paid from an account either from a withdrawal or a transaction that results in decreasing the cash balance.

An adjective describing the belief that a stock or the market in general will neither rise nor decline significantly.

Neutral strategy.

An option strategy (Or stock and option position) expected to benefit from a neutral market outcome.

Ninety-ten (90/10) strategy.

A conservative option strategy in which an investor buys Treasury bills (or other liquid assets) with 90% of their funds, and buys call options (or put options or a mixture of both) with the balance. The proportions of this strategy are subject to change based on prevailing interest rates.

Non-equity option.

Any option that does not have common stock as the underlying asset. Non-equity options include options on futures, indexes, foreign currencies, Treasury security yields, etc.

Not-held order.

A type of order that releases normal obligations implied by the other terms of the order. For example, a limit order designated as not-held allows discretion to the floor broker in filling the order when the market trades at the limit price of the order. In this case, there is no obligation to provide the customer with an execution if the market trades through the limit price on the order. See also Discretion and Market-not-held order.

Nasdaq Options Market, LLC.

나스닥 옵션 시장.

나스닥 옵션 시장.

나스닥 옵션 시장.

나스닥 옵션 시장.

Please update the optionseducation. org site to reflect the new name changes on these pages:

From: Christine Stange.

Sent: Wednesday, March 08, 2017 3:08 PM.

Subject: RE: ISE exchanges name changes.

Thanks for the info! There were some s floating around last week on ISE's name change. We'll have some development as well as content work to be done to accommodate the change.

With regards to NASDAQ vs. Nasdaq, the website uses both the exchange's legal name and trading facility names. The approved NASDAQ ones were originally provided to us by Legal back in 2012. We should reach out to Legal to have them revalidate the list. They had last reviewed and certified it in January 2017. I've attached the document that you were referring to in your . I'm also attaching a spreadsheet where we (in conjunction with Product Development) track the exchange identifiers used on our various systems.​

Trading Facility Name & Acronym.

Nasdaq GEMX, LLC.

Nasdaq BX Options.

Nasdaq PHLX LLC.

Nasdaq PHLX LLC.

The Nasdaq Stock Market LLC.

Please update the optionseducation. org site to reflect the new name changes on these pages:

From: Christine Stange.

Sent: Wednesday, March 08, 2017 3:08 PM.

Subject: RE: ISE exchanges name changes.

Thanks for the info! There were some s floating around last week on ISE's name change. We'll have some development as well as content work to be done to accommodate the change.

With regards to NASDAQ vs. Nasdaq, the website uses both the exchange's legal name and trading facility names. The approved NASDAQ ones were originally provided to us by Legal back in 2012. We should reach out to Legal to have them revalidate the list. They had last reviewed and certified it in January 2017. I've attached the document that you were referring to in your . I'm also attaching a spreadsheet where we (in conjunction with Product Development) track the exchange identifiers used on our various systems.​

Trading Facility Name & Acronym.

Nasdaq GEMX, LLC.

Nasdaq BX Options.

Nasdaq PHLX LLC.

Nasdaq PHLX LLC.

The Nasdaq Stock Market LLC.

A national securities exchange (Operated by NYSE Euronext).

NYSE American Options.

NYSE Arca 옵션.

Offer / Offer price.

The price at which a seller is offering to sell an option or a stock. Also known as ask or ask price.

One-cancels-other order (OCO)

A type of option order that treats two or more option orders as a package, whereby the execution of any one of the orders causes all the orders to be reduced by the same amount. For example, the investor would enter an OCO order if they wished to buy 10 May 60 calls or 10 June 60 calls or any combination of the two which when summed equaled 10 contracts. An OCO order may be a day order or a good-‘til-cancel order.

미결제.

The total number of outstanding option contracts on a given series or for a given underlying stock.

외침을 불러라.

The trading method by which competing market makers and floor brokers representing public orders make bids and offers on the trading floor.

Opening transaction.

An addition to, or creation of, a trading position. An opening purchase transaction adds long options to an investor's total position, and an opening sale transaction adds short options. An opening option transaction increases that option's open interest.

A contract that gives the owner the right, but not the obligation, to buy or sell a particular asset (the underlying stock) at a fixed price (the strike price) for a specific period of time (until expiration) . The contract also obligates the writer to meet the terms of delivery if the owner exercises the contract right.

Option period.

The time from when a buyer or writer of an option creates an option contract to the expiration date; sometimes referred to as an option's lifetime.

Option pricing curve.

A graphical representation of the estimated theoretical value of an option at one point in time, at various prices of the underlying stock.

Option pricing model.

The first widely used model for option pricing was the Black Scholes. This formula can be used to calculate a theoretical value for an option using current stock prices, expected dividends, the option's strike price, expected interest rates, time to expiration and expected stock volatility. While the Black-Scholes model does not perfectly describe real-world options markets, it is still often used in the valuation and trading of options.

Option writer.

The seller of an option contract who is obligated to meet the terms of delivery if the option owner exercises his or her right. This seller has made an opening sale transaction, and has not yet closed that position.

Optionable stock.

A stock on which listed options are traded.

Options Clearing Corporation (OCC)

OCC is the world's largest equity derivatives clearing organization. Founded in 1973, OCC operates under the jurisdiction of both the Securities and Exchange Commission (SEC) as a Registered Clearing Agency and the Commodity Futures Trading Commission (CFTC) as a Derivatives Clearing Organization. OCC provides central counterparty (CCP) clearing and settlement services to 16 exchanges and trading platforms for options, financial futures, security futures and securities lending transactions.

OTC option.

An over-the-counter option is traded in the over-the-counter market. OTC options are not listed on an options exchange and do not have standardized terms. These are to be distinguished from exchange-listed and traded equity options, which are standardized. See also Fungibility.

Out-of-the-money / Out-of-the-money option.

A term used to describe an option that has no intrinsic value. The option’s premium consists entirely of time value. For standard contracts, a call option is out-of-the-money if the stock price is below its strike price. A put option is out-of-the-money if the stock price is above its strike price. See also Intrinsic value and Time value.

Over-the-counter / Over-the-counter market.

A decentralized association of market participants, with many characteristics of an exchange, where trading takes place via an electronic network.

An option strategy involving the writing of call options (wholly or partially) against existing long stock positions. This is different from the buy-write strategy that involves the simultaneous purchase of stock and writing of a call. See also Ratio write.

Any person who has made an opening purchase transaction, call or put, and has that position in a brokerage account.

A term used to describe an option contract's total premium when that premium is the same amount as its intrinsic value. For example, an option is ‘worth parity’ when its theoretical value is equal to its intrinsic value. An option is said to be ‘trading for parity’ when an option is trading for only its intrinsic value. Parity may be measured against the stocks last sale, bid or offer.

Payoff diagram.

A chart of the profits and losses for a particular options strategy prepared in advance of the execution of the strategy. The diagram is a plot of expected profits or losses against the price of the underlying security.

Nasdaq PHLX, LLC.

Physical delivery option.

An option whose underlying entity is a physical good or commodity, like a common stock or a foreign currency. When its owner exercises that option, there is delivery of that physical good or commodity from one brokerage or trading account to another.

The risk to an investor (option writer) that the stock price will exactly equal the strike price at expiration (that option will be exactly at-the-money). The investor will not know how many of their written(short) options will be assigned or whether a last second move in the underlying will leave any long options in - or out-of-the-money. The risk is that on the following Monday the option writer might have an unexpected long (in the case of a written put) or short (in the case of a written call) stock position, and thus be subject to the risk of an adverse price move.

The combined total of an investor's open option contracts (Calls and/or puts) and long or short stock.

포지션 거래.

An investing strategy in which open positions are held for an extended period.

1. Total price of an option: intrinsic value plus time value.

2. Often (Erroneously) this word is used to mean the same as time value .

Primary market.

For securities traded in more than one market, the primary market is usually the exchange where trading volume in that security is highest.

Profit/loss graph.

A graphical presentation of the profit and loss possibilities of an investment strategy at one point in time (usually option expiration), at various stock prices.

Put 옵션.

An option contract that gives the owner the right to sell the underlying stock at a specified price (its strike price) for a certain, fixed period (until its expiration). For the writer of a put option, the contract represents an obligation to buy the underlying stock from the option owner if the option is assigned.

No Q Options Glossary Items.

There are currently no glossary items for this letter.

비율 확산.

A term most commonly used to describe the purchase of an option(s), call or put, and the writing of a greater number of the same type of options that are out-of-the-money with respect to those purchased. All options involved have the same expiration date. For example, buying 5 XYZ May 60 calls and writing 6 XYZ May 65 calls. See also Ratio write.

Ratio write.

An investment strategy in which stock is purchased and call options are written on a greater than one-for-one basis (more calls written than the equivalent number of shares purchased). For example, buying 500 shares of XYZ stock, and writing 6 XYZ May 60 calls. See also Ratio spread.

Realized gains and losses.

The net amount received or paid when a closing transaction is made and matched with an opening transaction.

저항.

A term used in technical analysis to describe a price area at which rising prices are expected to stop or meet increased selling activity. This analysis is based on historic price behavior of the stock.

Reversal / Reverse conversion.

An investment strategy used mostly by professional option traders in which a short put and long call with the same strike price and expiration combine with short stock to lock in a nearly riskless profit. For example, selling short 100 shares of XYZ stock, buying 1 XYZ May 60 call, and writing 1 XYZ May 60 put at favorable prices. The process of executing these three-sided trades is sometimes called reversal arbitrage. See also Conversion.

A measure of the expected change in an option's theoretical value for a 1% change in interest rates.

A trading action in which the trader simultaneously closes an open option position and creates a new option position at a different strike price, different expiration, or both. Variations of this include rolling up, rolling down, rolling out and diagonal rolling.

증권 거래위원회. The SEC is an agency of the federal government that is in charge of monitoring and regulating the securities industry.

Secondary market.

A market where securities are bought and sold after their initial purchase by public investors.

Sector index.

An index that measures the performance of a narrow market segment, such as biotechnology or small capitalization stocks.

Secured put / Cash-secured put.

An option strategy in which a put option is written against a sufficient amount of cash (or Treasury bills) to pay for the stock purchase if the short option is assigned.

Series of options.

Option contracts on the same class having the same strike price and expiration month. For example, all XYZ May 60 calls constitute a series.

정착.

The process by which the underlying stock is transferred from one brokerage account to another when equity option contracts are exercised by their owners and the inherent obligations assigned to option writers.

Settlement price.

The official price at the end of a trading session. OCC establishes this price and uses it to determine changes in account equity, margin requirements and for other purposes. See also Mark-to-market.

Short option position.

The position of an option writer that represents an obligation on the part of the option's writer to meet the terms of the option if its owner exercises it. The writer can terminate this obligation by buying back (cover or close) the position with a closing purchase transaction.

Short stock position.

A strategy that profits from a stock price decline. It is initiated by borrowing stock from a broker-dealer and selling it in the open market. This strategy is closed (covered) later by buying back the stock and returning it to the lending broker-dealer.

Specialist / Specialist group / Specialist system.

One or more exchange members whose function is to maintain a fair and orderly market in a given stock or a given class of options. This is accomplished by managing the limit order book and making bids and offers for their own account in the absence of opposite market side orders. See also Market maker and Market maker system (competing).

A stock dividend issued by one company in shares of another corporate entity, such as a subsidiary corporation of the company issuing the dividend.

Spread / Spread order.

A position consisting of two parts, each of which alone would profit from opposite directional price moves. As orders, these opposite parts are entered and executed simultaneously in the hope of (1) limiting risk, or (2) benefiting from a change of price relationship between the two parts.

Standard deviation.

A statistical measure of price fluctuation. One use of the standard deviation is to measure how stock price movements are distributed about the mean. See also Volatility.

Standardization.

Interchangeability resulting from standardization. Options listed on national exchanges are fungible, while over-the-counter options generally are not. Classes of options listed and traded on more than one national exchange are referred to as multiple-listed / multiple-traded options.

Stock dividend.

A dividend paid in shares of stock rather than cash. See also Spin-off.

Stock split.

An increase in the number of outstanding shares by a corporation through the issuance of a set number of shares to a shareholder for a set number of shares that the shareholder already owns. For example, a corporation might declare a 2-for-1 stock split. This means that for every share of stock an investor owns, he/she will be given another, thus owning two shares instead of one. There will be a corresponding reduction in equity value per share. In this case, the new shares (post-split) will be worth one-half their previous value but the investor will own twice as many shares.

주문을 중지하십시오.

A type of contingency order, often erroneously known as a stop-loss order, placed with a broker. It becomes a market order when the stock trades, or is bid or offered, at or through a specified price. See also Stop-limit order.

Stop-limit order.

A type of contingency order placed with a broker that becomes a limit order when the stock trades, or is bid or offered, at or through a specific price.

A trading position involving puts and calls on a one-to-one basis in which the puts and calls have the same strike price, expiration and underlying stock. When both options are owned, the position is called a long straddle. When both options are written, it is a short straddle. Example: a long straddle might be buying 1 XYZ May 60 call and buying 1 XYZ May 60 put.

Strike / Strike price.

The price at which the owner of an option can purchase (call) or sell (put) the underlying stock. Used interchangeably with striking price or exercise price.

Strike price interval.

The normal price differential between option strike prices. Exchange rules for strike intervals have changed over the years, and many stocks are now listed in $1 increments or smaller. In general, strike intervals in equity options are listed in $2.50 increments for strikes under $50 and in $5 increments from $50 up to $200. Over $200, strikes are listed in $10 increments. As mentioned, many stocks are now exempt from standard listing procedures and strike increments will vary.

Suitability.

A requirement that any investing strategy fall within the financial means and investment objectives of an investor or trader.

A term used in technical analysis to describe a price area at which falling prices are expected to stop or meet increased buying activity. This analysis is based on previous price behavior of the stock.

Synthetic long call.

A long stock position combined with a long put of the same series as that call.

Synthetic long put.

A short stock position combined with a long call of the same series as that put.

Synthetic long stock.

A long call position combined with a short put of the same series.

Synthetic position.

A strategy involving two or more instruments that have the same risk-reward profile as a strategy involving only one instrument.

Synthetic short call.

A short stock position combined with a short put of the same series as that call.

Synthetic short put.

A long stock position combined with a short call of the same series as that put.

Synthetic short stock.

A short call position combined with a long put of the same series.

기술 분석.

A method of predicting future stock price movements based on the study of historical market data such as the prices themselves, trading volume, open interest, the relation of advancing issues to declining issues, short selling volume and others.

Theoretical option pricing model.

A formula that can be used to calculate a theoretical value for an option using current stock prices, expected dividends, the option's strike price, expected interest rates, time to expiration and expected stock volatility.

Theoretical value.

The estimated value of an option derived from a mathematical model. See also Model and Black-Scholes formula.

A measure of the rate of change in an option's theoretical value for a one-unit change in time to the option's expiration date. See also Time decay.

The minimum price increment for an option's bid or ask.

시간의 부패.

A term used to describe how the theoretical value of an option erodes or reduces with the passage of time. Time decay is specifically quantified by Theta.

Time spread.

An option strategy that generally involves the purchase of a farther-term option (call or put) and the writing of an equal number of nearer-term options of the same type and strike price. Example: buying 1 XYZ May 60 call (far-term portion of the spread) and writing 1 XYZ March 60 call (near-term portion of the spread). Also known as calendar spread or horizontal spread.

시간 값.

The part of an option's total price that exceeds its intrinsic value. The premium of an out-of-the-money option consists entirely of time value.

1. Any investor who makes frequent purchases and sales.

2. A member of an exchange who conducts his or her buying and selling on the trading floor of the exchange.

Trading pit.

A specific location on the trading floor of an exchange designated for the trading of a specific option class or stock.

Transaction costs.

All of the charges associated with executing a trade and maintaining a position. These include brokerage commissions, fees for exercise and/or assignment, exchange fees, SEC fees and margin interest. In academic studies, the spread between bid and ask is taken into account as a transaction cost.

Type of options.

The classification of an option contract as either a put or a call.

Uncovered call option writing.

A short call option position in which the writer does not own an equivalent position in the underlying security represented by his or her option contracts.

Uncovered put option writing.

A short put option position in which the writer does not have a corresponding short position in the underlying security or has not deposited, in a cash account, cash or cash equivalents equal to the exercise value of the put.

기본 보안.

The security subject to being purchased or sold upon exercise of the option contract.

A measure of the rate of change in an option's theoretical value for a one-unit change in the volatility assumption. See also Kappa and Delta.

Vertical spread.

Most commonly used to describe the purchase of one option and writing of another where both are of the same type and of same expiration month, but have different strike prices. Example: buying 1 XYZ May 60 call and writing 1 XYZ May 65 call. See also Bull (or bullish) spread and Bear (or bearish) spread.

휘발성.

A measure of stock price fluctuation. Mathematically, volatility is the annualized standard deviation of a stock's daily price changes. See also Historic volatility, Individual volatility and Implied volatility.

Write / Writer.

To sell an option that is not owned through an opening sale transaction. While this position remains open, the writer is subject to fulfilling the obligations of that option contract; i. e., to sell stock (In the case of a call) or buy stock (In the case of a put) if that option is assigned. An investor who so sells an option is called the writer, regardless of whether the option is covered or uncovered.

XYZ / XYZ Corporation.

A fictitious company used as the underlying stock throughout the OIC website.

No Y Options Glossary Items.

There are currently no glossary items for this letter.

No Z Options Glossary Items.

There are currently no glossary items for this letter.

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Understanding trader jargon.

In this post I present some tips on how to understand fixed-income trader jargon.

If you are a quant working closely with swaps or options traders (as I was once), then you won’t get very far in a discussion unless you have a certain amount of fluency with the following terms.

Some were passed on to me in my early times as a fixed-income trader, and others are my own inventions — mnemonics I designed which help me to see a simple logic in a terminology or mathematical equality.

The universal principle, version 1.

The largest part of a quant’s time is spent on swaps and swaptions, and therefore swap rates are the most familiar object. But, to be able to speak to rates traders you need to make a fundamental change to your point of view:

The universal principle (v1) : it’s all about bond prices.

Once you have that sorted in your mind you are already well on the way to having a fruitful conversation with a fixed-income trader.

By the way, this is version 1 of the universal principle because we’ll later see that buy/sell terminology is often also used for swaps (rather than pay/receive), and at that point we’ll write the real universal principle.

For example, if the bond market rallies then prices are heading north, so interest rates are heading south, and viceversa in a sell off. So when you talk to a trader you should remember:

rates rally = interest rates get smaller,

rates sell off = interest rates get bigger.

Just to state the obvious, the terms rally and sell off are used in all types of markets (eg equity, commodity, fx, vol) and just mean that prices go up (rally) or go down (sell off).

The fundamental relationship: bonds and swaps.

My early days on the trading desk were a busy time, and among a thousand things to do I was given a life-changing piece of information to learn by heart:

The Bond & Swap Relation : Long = Receive, Short = Pay.

Explanation: if you receive fixed in a swap (so pay the Libor leg), and rates go down then you will have made money on the swap. When rates go down bond prices typically go up, so when you receive (short for “receive fixed”) in a swap you will likely be happy if bond prices go up, ergo you are long the market.

Corollary for Swaptions : Long = Receiver, Short = Payer.

Note: a “receiver” swaption is an option to enter a swap where you receive fixed.

The fact is that you won’t get very far in any fixed-income trading conversation unless you learn these few equalities by heart and make them second nature. There is more to come, but for the moment let’s see how these rules help us understand a few well-repeated comments:

1) If you buy a bond then you hedge your interest-rate risk by paying in swaps.

2) If rates are low then clients will likely be looking to hedge their fixed-income portfolios by paying in swaps. Explanation: rates are low, meaning bonds are expensive, so most investors will think that bond prices are more likely to go down than up, so shorting the market is probably the most popular position; hence paying in swaps since that is a synthetic short.

3) A call option in the equity world is an option to buy an equity at a pre-determined price, so it is an option to go long. In the fixed-income world the equivalent for swaps would be a receiver swaption, since it too is an option to go long the market. Receiver swaptions will tend to be at lower strikes than the current at-the-money level, since investors will not want miss out on a rally if it happens but are happy to pay less for an option that takes them long only after the market has moved up a bit.

Steepening and Flattening.

Historical time series will confirm that the yield curve generally steepens in a rally and flattens in a sell off . This leads to terms like ‘bull steepening’ and ‘bear flattening’.

Here are a couple of mnemonics I invented which make it possible to quickly understand these terms:

s teepening means the market is s hortening its duration,

f l attening means the market is l engthening its duration.

Let me give a short explanation. Over and above the usual reasons for why a steep yield curve is norm (compensation or risk premium for investing in longer-dated bonds), a steeper yield curve means that short-dated bonds are relatively more expensive than longer-dated bonds. This will be the case if:

there have been more buyers of short-dated bonds than of longer-dated bonds, or there have been more sellers of longer-dated bonds than of shorter-dated bonds,

since both of these processes would push up the prices of shorter-dated bonds or push down the prices of longer-dated bonds.

But in both cases the ‘average’ portfolio has become relatively more short dated, and therefore has a shorter duration. The opposite holds for a flattening of the yield curve, of course.

So in summary we have two ways of steepening, and two ways of flattening, and these 4 possibilities give rise to all the bull/bear/flattening/steepening combinations:

the market is buying short-dated bonds: bull steepening , the market is selling long-dated bonds: bear steepening , the market is selling short-dated bonds: bear flattening , the market is buying long-dated bonds: bull flattening .

Here is how it works in practice: you hear.

“there was a bull steepening”

and the mnemonic immediately takes you to think:

“there was steepening, so duration is shortening”

and you know this could be either through the buying of shorter-dated bonds or the selling of longer-dated bonds. But the “bull” term tells you there was buying so you deduce:

“there was buying of short-dated bonds”

or in fancier terms:

Buy/sell jargon.

Now that we have seen a few of the fundamental relationships in the fixed income markets, we move on to cover the main trader speak for buying and selling.

Actually, these jargon for buying or selling could be heard in any market and are really just terms for buying and selling of something .

(1): ‘hit’ and ‘lift’

Now that you have got the fundamental relationship under your belt, you need to get comfortable with the second level of jargon. The fact is that if you wander around a bond trading floor you are not likely to hear people say ‘I bought a bond’. Instead you’ll hear things like:

“I lifted him before the rally”.

Seemingly mysterious, these terms are in fact a corollary of the most basic rules of trading:

if you buy then prices will move upwards,

if you sell then prices will move downwards.

It is only a simple step to now connect with the terms ‘hit’ and ‘lift’: if somebody somewhere buys an asset then its price will get lift ed up; if somebody somewhere sells an asset then its price will get hit down.

So when a trader says “I just got lifted”, you know that someone has just bought from them:

I got lifted = somebody bought = I sold.

I got hit = somebody sold = I bought.

Similarly, a buyer would say “I lifted him at 100” to mean that they have just bought from a market maker and paid 100 for the asset.

Another couple of phrases you’ll regularly hear on the trading floor will now make sense to you:

(2): ‘mine’ and ‘yours’

These are a bit simpler: if I buy a bond I would say ‘it’s mine now’ and if I sell I would say ‘it’s yours now’.

(3): ‘give’ and ‘take’

Similarly, if I sell you a bond I am giving it to you, and if I buy I am taking it from you:

The other form that is common is:

I got given = someone sold to me = I bought .

This is likely to be said more by a market maker who bought because someone hit their bid; it was passive buying .

Applying buy/sell language to swaps.

When you enter into a swap, one party pays fixed and the other party pays a floating rate (usually a libor of some kind). The standard way to describe a swap transaction is to refer to the fixed-rate leg: eg.

“I paid in 5 year” = I entered a spot-starting 5-year maturity swap in which I pay the fixed-rate leg and receive the libor leg.

At first sight it doesn’t seem appropriate to say that anyone is actually buying or selling anything, but the fact is that you will hear traders using buy/sell jargon for swap transactions too, so here we look at what it means.

The terminology follows from another simple principle of trading:

if you buy something and the price goes up you will have made money,

if you sell something and the price goes down then you will have made money,

and relies on interpreting the swap rate as a price of something. And what is the swap rate the price of?

The swap price principle : the swap rate is the price of the future libors.

“buy the swap” = buy the libors = pay fixed ,

“sell the swap” = sell the libors = receive fixed .

Here’s why this works. Suppose that the swap rate goes up and you had ‘bought the swap’, then you should now have registered a positive PnL on your swap position — which is the case if you were paying (fixed) in the swap.

All the other buy/sell jargon falls into place:

& # 8220; mine ” (for swaps) = I buy the swap = I pay fixed.

& # 8220; yours ” (for swaps) = I sell the swap = I receive fixed.

& # 8220; I got hit ” (for swaps) = I bought the swap = I pay fixed.

& # 8220; I got lifted ” (for swaps) = I sold the swap = I receive fixed.

& # 8220; I got given ” (for swaps) = I bought the swap = I pay fixed.

The universal principle (full version)

Actually the logic behind this approach is very useful across the board and merits becoming our full version of the universal principle:

The universal principle : make everything a statement on prices.

왜? Because then you can apply the most basic rule of trading:

The key to everything : buy cheap and sell dear.

Here are the corollaries that we have effectively been using:

Corollary 1 : in the world of rates we refer to the price of bonds.

Corollary 2 : in the world of swaps we refer to the price of libors.

The principle can be applied to every trade you ever look at, and you should try to apply it to every trade you look at. 예 :

if you are pricing a steepener trade are you buying or selling the spread? if you are pricing an options trade are you buying or selling volatility? if you are pricing a rates trade are you long or short the market? if you price an asset swap are you buying or selling the basis?

이 공유:

관련.

Published by Robert.

Mathematician (PhD in Probability Theory). Art lover (spent one excellent year studying painting and ceramics at Batley Art College). Ex investment banker (2yrs of fixed-income exotics trading, 5 yrs of quantitative research, 2 yrs of inflation structuring). Now busy as a quantitative software developer. View all posts by Robert.

소식 탐색.

14 thoughts on “ Understanding trader jargon ”

I am a little confused here. At one point you stated that.

“The Bond & Swap Relation: Long = Receive, Short = Pay”

but then toward the end it says.

““buy the swap” = buy the libors = pay fixed”

Are those consistent?

The two conventions are consistent.

Textbooks tell you that the way to think about a swap is to state who pays or receives the fixed rate.

But traders do also say ‘buy the swap’, so I also explain what it means to buy or sell the swap.

OK now I see your point. For some reason my mind just substitutes ‘long’ for ‘buy,’ which misses the whole point of this post.

based on corollary 2 of the universal principal, does “swap rates rally” = rates are going up?

My feelings are that because your example explicitly mentions “swap rates” then the “rally” refers directly to the swap rates themselves. So I would say that “swap rates rally” means that swap rates increased.

If, on the other hand, someone had said “there was a rally in rates” then I would guess they mean that there was a rally in the rates market, ie the bond market, which implies that interest rates have gone down.

It would be clearer from the context whether they really meant that swap rates had increased or whether they were just being loose with their language and had really just meant “rates rally” ie bonds had rallied.

I have read, what, three dozen books and never found such comprehensive summary anywhere. 공유 해줘서 고마워!

Found it very useful. Thanks so much.

Excellent post. I used to be checking constantly this blog.

and I’m inspired! Extremely helpful info particularly the final.

section 🙂 I handle such information a lot. I was looking for this particular information for a long time.

Thanks and good luck.

Very impressed by how you distilled the essence of pricing of many stuff (from libor to vol) and their relation to rates in such a masterly fashion. I couldn’t believe you joined many dots in my understanding of various loosely connected things in one morning train ride:). Well done and thank you!

Good blog – Many thanks (it did clarify a lot of trader lingo) – Just to clarify when i am long a bond – Is it fair to say that i am “Long IR risk” and when i buy a swap then “I am short IR Risk”?

The way i think about this is – When i am “short IR Risk” on a swap (I. e. Buying a Swap – Pay Fixed, Receive Float), when IR rates go up – I make money.

It sounds logical in my mind – but then lingo and logic are 2 different things. Please can you clarify from a trader’s perspective how they think about risk?

I’d be careful with the term ‘risk’.

It could mean a few different things: ‘I am long risk’ might mean that I am long equities — the classic ‘risky asset’ when considered alongside bonds.

This is Alan Hu, a fixed-income trader from Bank of China. I came across your blog when I was searching around for jargon explanations on IRS trading (for an internal trainning of new traders). It may be a surprise for you that in the Mandarin-speaking market, we are still using the English Jargons for deals; and without knowing how English-speaking traders thought when they created the jargons, it is quite painful for us to memorize what the buy/sell really means for IRS (I forced myself to remember, and that cost me about half a day!)

Your blog has the most vivid explanation for all the things I puzzled about. And I don’t what to make it my personal asset. Could you allow me to translate and share this post with my Chinese peers? I will publish the translation on Wechat, a combination of WhatsApp and blog. Of course, it will be totally free and accessible for all people. It won’t be a 100% translation; I would like to add some comments for the Chinese market if you allow me to do so. Anyway, just want you to know that the value of your sharing is not limited to UK, it’s universal.

Alan, your comment was such a long time ago and I apologise that I had not found the time to reply previously.

I do hope that you went ahead and did the translation. Please do if you did not!

Many thanks for your kind words.

All the best, Robert.

공유 해줘서 고마워!

You say “in the world of swaps we refer to the price of Libors”, do you mean discount factors we would obtain from Libor rates?