Logo
Unionpedia
Communication
Get it on Google Play
New! Download Unionpedia on your Android™ device!
Install
Faster access than browser!
 

Derivative (finance) and Option (finance)

Shortcuts: Differences, Similarities, Jaccard Similarity Coefficient, References.

Difference between Derivative (finance) and Option (finance)

Derivative (finance) vs. Option (finance)

In finance, a derivative is a contract that derives its value from the performance of an underlying entity. In finance, an option is a contract which gives the buyer (the owner or holder of the option) the right, but not the obligation, to buy or sell an underlying asset or instrument at a specified strike price on a specified date, depending on the form of the option.

Similarities between Derivative (finance) and Option (finance)

Derivative (finance) and Option (finance) have 36 things in common (in Unionpedia): Asset, Binomial options pricing model, Black–Scholes model, Bond (finance), Bond option, Call option, Chicago Board Options Exchange, Clearing house (finance), Derivative (finance), Discounting, Eurex Exchange, Exchange (organized market), Expected value, Expiration (options), Finance, Financial instrument, Futures contract, Futures exchange, Hedge (finance), Interest rate derivative, Journal of Political Economy, Mark Rubinstein, Mortgage loan, Olive, Option (finance), Option style, Over-the-counter (finance), Principles of Corporate Finance, Put option, Short (finance), ..., Spot contract, Strike price, Swap (finance), Swaption, Thales of Miletus, Underlying. Expand index (6 more) »

Asset

In financial accounting, an asset is an economic resource.

Asset and Derivative (finance) · Asset and Option (finance) · See more »

Binomial options pricing model

In finance, the binomial options pricing model (BOPM) provides a generalizable numerical method for the valuation of options.

Binomial options pricing model and Derivative (finance) · Binomial options pricing model and Option (finance) · See more »

Black–Scholes model

The Black–Scholes or Black–Scholes–Merton model is a mathematical model for the dynamics of a financial market containing derivative investment instruments.

Black–Scholes model and Derivative (finance) · Black–Scholes model and Option (finance) · See more »

Bond (finance)

In finance, a bond is an instrument of indebtedness of the bond issuer to the holders.

Bond (finance) and Derivative (finance) · Bond (finance) and Option (finance) · See more »

Bond option

In finance, a bond option is an option to buy or sell a bond at a certain price on or before the option expiry date.

Bond option and Derivative (finance) · Bond option and Option (finance) · See more »

Call option

A call option, often simply labeled a "call", is a financial contract between two parties, the buyer and the seller of this type of option.

Call option and Derivative (finance) · Call option and Option (finance) · See more »

Chicago Board Options Exchange

The Chicago Board Options Exchange, located at 400 South LaSalle Street in Chicago, is the largest U.S. options exchange with annual trading volume that hovered around 1.27 billion contracts at the end of 2014.

Chicago Board Options Exchange and Derivative (finance) · Chicago Board Options Exchange and Option (finance) · See more »

Clearing house (finance)

A clearing house is a financial institution formed to facilitate the exchange (i.e., clearance) of payments, securities, or derivatives transactions.

Clearing house (finance) and Derivative (finance) · Clearing house (finance) and Option (finance) · See more »

Derivative (finance)

In finance, a derivative is a contract that derives its value from the performance of an underlying entity.

Derivative (finance) and Derivative (finance) · Derivative (finance) and Option (finance) · See more »

Discounting

Discounting is a financial mechanism in which a debtor obtains the right to delay payments to a creditor, for a defined period of time, in exchange for a charge or fee.

Derivative (finance) and Discounting · Discounting and Option (finance) · See more »

Eurex Exchange

Eurex Exchange is an international exchange which primarily offers trading in European based derivatives and it is the largest European futures and options market.

Derivative (finance) and Eurex Exchange · Eurex Exchange and Option (finance) · See more »

Exchange (organized market)

An exchange, or bourse also known as a trading exchange or trading venue, is an organized market where (especially) tradable securities, commodities, foreign exchange, futures, and options contracts are sold and bought.

Derivative (finance) and Exchange (organized market) · Exchange (organized market) and Option (finance) · See more »

Expected value

In probability theory, the expected value of a random variable, intuitively, is the long-run average value of repetitions of the experiment it represents.

Derivative (finance) and Expected value · Expected value and Option (finance) · See more »

Expiration (options)

In finance, the expiration date of an option contract is the last date on which the holder of the option may exercise it according to its terms.

Derivative (finance) and Expiration (options) · Expiration (options) and Option (finance) · See more »

Finance

Finance is a field that is concerned with the allocation (investment) of assets and liabilities (known as elements of the balance statement) over space and time, often under conditions of risk or uncertainty.

Derivative (finance) and Finance · Finance and Option (finance) · See more »

Financial instrument

Financial instruments are monetary contracts between parties.

Derivative (finance) and Financial instrument · Financial instrument and Option (finance) · See more »

Futures contract

In finance, a futures contract (more colloquially, futures) is a standardized forward contract, a legal agreement to buy or sell something at a predetermined price at a specified time in the future.

Derivative (finance) and Futures contract · Futures contract and Option (finance) · See more »

Futures exchange

A futures exchange or futures market is a central financial exchange where people can trade standardized futures contracts; that is, a contract to buy specific quantities of a commodity or financial instrument at a specified price with delivery set at a specified time in the future.

Derivative (finance) and Futures exchange · Futures exchange and Option (finance) · See more »

Hedge (finance)

A hedge is an investment position intended to offset potential losses or gains that may be incurred by a companion investment.

Derivative (finance) and Hedge (finance) · Hedge (finance) and Option (finance) · See more »

Interest rate derivative

In finance, an interest rate derivative (IRD) is a derivative whose payments are determined through calculation techniques where the underlying benchmark product is an interest rate, or set of different interest rates.

Derivative (finance) and Interest rate derivative · Interest rate derivative and Option (finance) · See more »

Journal of Political Economy

The Journal of Political Economy is a bimonthly peer-reviewed academic journal published by the University of Chicago Press.

Derivative (finance) and Journal of Political Economy · Journal of Political Economy and Option (finance) · See more »

Mark Rubinstein

Mark Edward Rubinstein is a leading financial economist and financial engineer.

Derivative (finance) and Mark Rubinstein · Mark Rubinstein and Option (finance) · See more »

Mortgage loan

A mortgage loan, or simply mortgage, is used either by purchasers of real property to raise funds to buy real estate, or alternatively by existing property owners to raise funds for any purpose, while putting a lien on the property being mortgaged.

Derivative (finance) and Mortgage loan · Mortgage loan and Option (finance) · See more »

Olive

The olive, known by the botanical name Olea europaea, meaning "European olive", is a species of small tree in the family Oleaceae, found in the Mediterranean Basin from Portugal to the Levant, the Arabian Peninsula, and southern Asia as far east as China, as well as the Canary Islands and Réunion.

Derivative (finance) and Olive · Olive and Option (finance) · See more »

Option (finance)

In finance, an option is a contract which gives the buyer (the owner or holder of the option) the right, but not the obligation, to buy or sell an underlying asset or instrument at a specified strike price on a specified date, depending on the form of the option.

Derivative (finance) and Option (finance) · Option (finance) and Option (finance) · See more »

Option style

In finance, the style or family of an option is the class into which the option falls, usually defined by the dates on which the option may be exercised.

Derivative (finance) and Option style · Option (finance) and Option style · See more »

Over-the-counter (finance)

Over-the-counter (OTC) or off-exchange trading is done directly between two parties, without the supervision of an exchange.

Derivative (finance) and Over-the-counter (finance) · Option (finance) and Over-the-counter (finance) · See more »

Principles of Corporate Finance

Principles of Corporate Finance is a reference work on the corporate finance theory edited by Richard Brealey, Stewart Myers, and Franklin Allen.

Derivative (finance) and Principles of Corporate Finance · Option (finance) and Principles of Corporate Finance · See more »

Put option

In finance, a put or put option is a stock market device which gives the owner of a put the right, but not the obligation, to sell an asset (the underlying), at a specified price (the strike), by a predetermined date (the expiry or maturity) to a given party (the seller of the put).

Derivative (finance) and Put option · Option (finance) and Put option · See more »

Short (finance)

In finance, a short sale (also known as a short, shorting, or going short) is the sale of an asset (securities or other financial instrument) that the seller does not own.

Derivative (finance) and Short (finance) · Option (finance) and Short (finance) · See more »

Spot contract

In finance, a spot contract, spot transaction, or simply spot, is a contract of buying or selling a commodity, security or currency for immediate settlement (payment and delivery) on the spot date, which is normally two business days after the trade date.

Derivative (finance) and Spot contract · Option (finance) and Spot contract · See more »

Strike price

In finance, the strike price (or exercise price) of an option is the fixed price at which the owner of the option can buy (in the case of a call), or sell (in the case of a put), the underlying security or commodity.

Derivative (finance) and Strike price · Option (finance) and Strike price · See more »

Swap (finance)

A swap is a derivative contract where two parties exchange financial instruments.

Derivative (finance) and Swap (finance) · Option (finance) and Swap (finance) · See more »

Swaption

A swaption is an option granting its owner the right but not the obligation to enter into an underlying swap.

Derivative (finance) and Swaption · Option (finance) and Swaption · See more »

Thales of Miletus

Thales of Miletus (Θαλῆς (ὁ Μιλήσιος), Thalēs; 624 – c. 546 BC) was a pre-Socratic Greek philosopher, mathematician, and astronomer from Miletus in Asia Minor (present-day Milet in Turkey).

Derivative (finance) and Thales of Miletus · Option (finance) and Thales of Miletus · See more »

Underlying

In finance, the underlying of a derivative is an asset, basket of assets, index, or even another derivative, such that the cash flows of the (former) derivative depend on the value of this underlying.

Derivative (finance) and Underlying · Option (finance) and Underlying · See more »

The list above answers the following questions

Derivative (finance) and Option (finance) Comparison

Derivative (finance) has 213 relations, while Option (finance) has 116. As they have in common 36, the Jaccard index is 10.94% = 36 / (213 + 116).

References

This article shows the relationship between Derivative (finance) and Option (finance). To access each article from which the information was extracted, please visit:

Hey! We are on Facebook now! »