Options that are exercisable on each trading day during the entire term are American style options. Options that can only be exercised on the last trading day, are called European style options.

All options of the same type with the same underlying.

(Greeks) Indicate in absolute terms, how much the option price or a part of the option price changes when the influencing factors on the option price change by one unit. There are five sensitivity factors, which are marked with the Greek letter Delta, Gamma, Theta, Vega and Rho.

(Premium) Price, which is paid for an option.

Model for calculating the standard risk costs that considers a loan as a short put (= sold put option).

Identical options belong to one option series. ie type, underlying, strike price and expiration date are the same.

A financial derivative that represents a contract sold by one party (option writer) to another party (option holder). The contract offers the buyer the right, but not the obligation, to buy (call) or sell (put) a security or other financial asset at an agreed-upon price (the strike price) during a certain period of time or on a specific date (exercise date). Call options give the option to buy at certain price, so the buyer would want the stock to go up. Put options give the option to sell at a certain price, so the buyer would want the stock to go down. Options are extremely versatile securities that can be used in many different ways. Traders use options to speculate, which is a relatively risky practice, while hedgers use options to reduce the risk of holding an asset.

There are two types of options: calls and puts; Buy options and sell options

Statement of intent by a customer to buy or sell securities. An order can be specified according to specific criteria: Composition of the order (single / combined) and treatment in the order book (period of validity of limit orders; execution restrictions of market orders).

In the central order book of a stock exchange (with the exception of market orders) are all orders stored, examined for their feasibility and finally carried out. Therefore, the current order book is visible at any time.

An order document contains the name of the owner. The transmission of the order papers takes place by means of endorsement and delivery.

specified order type

The OECD was founded in 1961 and has its headquarters in Paris. It is a group of 30 member countries that discuss and develop economic and social policy. OECD countries are democratic countries that support free market economies. Over the years, it has dealt with a range of issues, including raising the standard of living in memeber countries, contributing to the expansion of world trade and promoting economic stability.

Was translated around 2005 in the German financial language. Designation will for a deal in which loans are issued to an independent company and eventually sold to investors in tranches.

abbr. for over the counterindicates a non exchange traded deal,typical for OTC-contracts is that all contractspecifications (e.g. maturity, volume etc.) can be fixed individually by the participating parties.opposite: exchange traded contracts at which the contractspecifications are fixed by the stock market.

abbr. over-the-counter Market

abbr. out-of-the-money

A call is out of the money when the price of the underlying is below the strike price. A put is out of the money when the price of the underlying is above the strike price.

Securities or mutual funds whose performance exceeds the market performance.

v. OTC