Covered Put A covered put is a put option which is sold by an investor and which is covered (backed) by a corresponding number of short shares of the underlying security.
Covered Put A put option position in which the option writer also is short the corresponding stock or has deposited, in a cash account, cash or cash equivalents equal to the exercise of the option. This limits the ...
Covered Put A put option that is sold by the owner of a put of the same class with an equal or longer expiration date and an equal or higher exercise price. Covered Writing ...
covered put The sale of a put option while holding sufficient cash to buy the underlying. CPLTD ...
Covered Put A put option whose seller (writer) owns a put on the same underlying security with an exercise price equal to or greater than the exercise price of the put written, or who has sold the underlying security short.
Covered put option See covered vs. uncovered (naked) put. Cumulative Net Investment Loss (CNIL) ...
Uncovered put A short put option position in which the writer does not have a corresponding short stock position or has not deposited, in a cash account, cash or cash equivalents equal to the exercise value of the put.
Uncovered Put Option A put writer is considered to be uncovered if he does not have a corresponding short stock position or has not deposited cash equal to the exercise value of the put.
Covered Put Option Said of a short put option position in which the investor has a short position in the underlying security or a security convertible into the underlying security.
Covered Put A in which the also is the corresponding stock or has deposited, in a cash account, cash or cash equivalents equal to the of the . This limits the option writer's risk because money or stock is already set aside.
Uncovered options See: Naked options Uncovered put A short put option position in which the writer does not have a corresponding short stock position or has not deposited, in a cash account, ...
uncovered put A short put option in which the writer does not have the corresponding short... underbanked When the underwriter in an Initial Public Offering (IPO) is having difficulty...
Similarly, if you sell an uncovered put, you don't have adequate cash in reserve to fulfill your obligation to purchase the underlying instrument at exercise.
See Uncovered call writing and Uncovered put writing. Named perils insurance An insurance policy that names specific risks covered by the policy. NASD form FR-1 ...
What happens if you are assigned an uncovered put or uncovered call option? What are uncovered costs? What rhymes with uncover? » More ...
Naked writer See Uncovered call writing and Uncovered put writing. Named perils insurance An insurance policy that names specific risks covered by the policy.
Naked writer Definition: [crh] See Uncovered call writing and Uncovered put writing.
A put option whose writer does not have a short position in the stock on which he or she has written the put. Sometimes referred to as an "uncovered put." ...
The writer has pledged to buy the asset at a certain price if the buyer of the option chooses to exercise it. Uncovered put options limit the writer's risk to the value of the stock (adjusted for premium received.) Also called "naked" puts.
Similarly, if you sell put options on stock and have enough cash on hand make the required purchase if the option holder exercises, the options are covered. Covered puts are also known as cash-secured puts.
position in which the investor has another investment position which will meet the obligation of the option contract. A covered short call involves owning the underlying security or a security convertible into the underlying security. A covered put ...
Also called naked puts, the writer has pledged to buy the asset at a certain price if the buyer of the options chooses to exercise it. The nature of uncovered call options means the writers risk is unlimited. With uncovered put options, ...
See also: Limit Order, Ex-dividend, Deferred tax, Ex-Dividend Date, Current ratio
 
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