Pin risk
id:
pin-risk-297-14264469
title:
Pin risk
text:
Pin risk occurs when the market price of the underlier of an option contract at the time of the contract's expiration is close to the option's strike price. In this situation, the underlier is said to have pinned. The risk to the writer (seller) of the option is that they cannot predict with certainty whether the option will be exercised or not. So the writer cannot hedge their position precisely and may end up with a loss or gain. There is a chance that the price of the underlier may move adver
brand slug:
wiki
category slug:
encyclopedia
description:
original url:
https://en.wikipedia.org/wiki/Pin_risk
date created:
date modified:
2023-09-20T06:26:58Z
main entity:
{"identifier":"Q17147107","url":"https://www.wikidata.org/entity/Q17147107"}
image:
fields total:
13
integrity:
13