Advertising

Time premium

• Also called time value, the amount by which the option price exceeds its intrinsic value. The value of an option beyond its current exercise value representing the option holder's control until expiration, the risk of the underlying asset, and the riskless return.

 
 Embedded terms in definition
 Asset
Control
Exercise value
Exercise
Expiration
Intrinsic value
Its
Option price
Option
Return
Risk
Time value
Time
Underlying asset
Underlying
 
 Related Terms
 

<< Time line Time series analysis >>

Ways to Cope Financially During and After a Big Change: Here are suggestions for staying focused and avoiding costly decisions during changing times. More...

Always do right; this will gratify some people and astonish the rest. - Mark Twain (1835-1910)

Advertising



Copyright 2009-2018 GVC. All rights reserved.