Compound option
id:
compound-option-319-17246392
title:
Compound option
text:
A compound option or split-fee option is an option on an option. The exercise payoff of a compound option involves the value of another option. A compound option then has two expiration dates and two strike prices. Usually, compounded options are used for currency or fixed income markets where insecurity exists regarding the option's risk protection. Another common business application that compound options are used for is to hedge bids for business projects that may or may not be accepted. For
brand slug:
wiki
category slug:
encyclopedia
description:
original url:
https://en.wikipedia.org/wiki/Compound_option
date created:
date modified:
2023-12-26T19:37:00Z
main entity:
{"identifier":"Q5156921","url":"https://www.wikidata.org/entity/Q5156921"}
image:
fields total:
13
integrity:
13