Medi Assist Healthcare IPO

Home Derivatives

Finance Wiki

Trending Categories

All Financial Terms Financial Instruments Market Entities Corporate Actions Public Offerings Fixed Income Instruments Currency Commodity Mutual Funds Derivatives Trading Terms Taxes

More

Derivatives Trading Terms Taxes Property Fixed Income Credit Cards Options and Futures Stocks Insurance IPO Technicals Retirement Planning Loans Gold Bank Deposits

A

B

C

D

E

F

G

H

I

J

K

L

M

N

O

P

Q

R

S

T

U

V

W

X

Y

Z

#

Derivatives

Convergence

It is an essential concept in financial markets.

As we dive into the world of finance, it's important to understand the concept of convergence. This term refers to the gradual alignment of the futures contract's price with the spot or cash price of the underlying securities. In simpler terms, it's the process of closing the gap between the two prices over time. This plays a crucial role in the functioning of financial markets, making it a fundamental concept to grasp.

Deep Discount Bonds

Deep Discount Bonds, also referred to as zero-coupon bonds, are financial instruments that are acquired at a fixed face value, and the full amount of the investment is paid ...

More

In-the-money

An option is considered In-the-money when the buyer is in a profitable position at a specific spot price of the underlying securities. This term is used in reference to both ...

More

American-Style Option

This type of contract provides flexibility for the holder to take advantage of the underlying asset's price movements. Let's dive into a fascinating aspect of finance - opti...

More

Covered Call Option Writing

In this particular trading approach, the investor maintains ownership of a security for a prolonged period while also selling a call option on that same security. This allow...

More