Out of The Money

Out Of The Money
When an investor holds an option to buy or sell and underlying asset, the option is said to be 'out of the money' if by exercising the option the investor would make an overall loss.

Out of the money
An option is out of the money (often written "out-of-the-money") if it has a negative intrinsic value.

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An option is described as being out of the money when the price of the underlying instrument is below the strike or exercise price for a call option (an option to buy), and above the strike price for a put option (an option to sell).

Deep Out Of The Money
Deep Out Of The Money definition :
A call option with an exercise price substantially above the market price. Also put option with an exercise price substantially below the underlying stock's market price.

Deep out of the money
A call option with an exercise pricesubstantially above the market price. Also put option with an exercise price substantially below the underlying stock's market price.

deep in/out of the money
call option whose exercise price is well below the market price of the underlying stock (deep in the money) or well above the market price (deep out of the money). The situation would be exactly the opposite for a put option .

Out of the money
When the exercise price is above (in the case of calls) or below (in the case of puts) the current market price of the underlying security. That is, it has no intrinsic value.

out of the money
The situation where an option has only time value as opposed to intrinsic value because of the relationship between the option's strike price and the current market price for the underlying instrument, the spot price.

Out of the money. Expression used for any option for which the strike (exercise) price and market price of the underlying security are such that if the holder attempted to exercise the option, the holder would realize no value.

Out of the Money (OTM)
A call (put) whose exercise price is higher (lower) than the current price of the underlying.
Position ...

Out of the Money - Term used in options trading to describe a client's position that would result in a loss if exercised at a particular point in time. (See "At the Money," "In the Money") ...

Deep Out Of The Money
A call option whose exercise (strike) price is considerably above the underlying security's current market price--that is, the strike price is 5 or more points above the underlying security's current market price.

Money (out of the money)
A warrant with an exercise price above (for a call warrant) or below (for a put warrant) the price of the underlying security.

Deep in/out of the money
A call option with an exercise price substantially below the underlying stock's market price (deep in the money) or substantially above the market price (deep out of the money).

Out Of The Money
An option that has no intrinsic value--for example, an option whose strike price, in the case of a put, is lower than the stocks current price, or in the case of a call, is higher.

Out of the money A is out-of-the-money if the is greater than the market price of the . A is out-of-the-money if the is less than the market price of the underlying security.

Out of the money
In the options market, you are out of the money when the market price of a stock is not close to the strike price.

out of the money
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When the exercise price is above, in the case of calls or below, in the case of puts, the current market price of the underlying security, that is, it has no intrinsic value.

Out Of The Money - OTM
1. For a call, when an option's strike price is higher than the market price of the underlying asset.
2. For a put, when the strike price is below the market price of the underlying asset.

e) Out of the Money option - Option granted with an exercise price above the market price.

See: Out of the money.
OPEC
See: Organization of Petroleum Exporting Countries
Oath of Inspectors ...

OTM
See: Out of the money.
OPEC
See: Organization of Petroleum Exporting Countries ...

DOTM - See: Deep out of the money
DOUBLE ACCOUNTING - the un-intentional, or sometimes fraudulently intentional, double counting of asset...
DOUBLE AUCTION MARKET - Systems by which listed securities are bought and sold through brokers on the s...

A call option is out of the money if the strike price is greater than the market price of the underlying security. That is, you have the right to purchase a security at a price higher than the market price, which is not valuable.

DOT See: Designated Order Turnaround System DOTM See: Deep out of the money D/P Abbreviation for Documents Against Payment.

deep in the money An option that is so far in the money that the chances of it going out of the money prior to expiration are small.

Out-of-the-money option A call option is out of the money if the strike price is greater than the market price of the underlying security.

Out Of The Money
An option or warrant with negative intrinsic value. For example, a call option/warrant whose exercise price is higher than the price of its ...(Read more)
Output Tax ...

Options strategy where the holder of a long position in an underlying stock buys an Out of the Money put and sells an out of the money call. It defines a range where the stock will be sold at expiration of the option, whatever way the stock moves.

The rule is similar for determining whether or not a spread is out of the money. If the stock price is lower than the lower strike of the spread, the spread is out of the money. Again, looking at the Feb.

It involves a combination of 3 options, buying an at the money call (put), and selling both and out of the money put and call.

The movement in the option price sometimes has no relation to stock price, especially out of the money options. In the money option prices tend to track the stock much closer.

At still lower stock prices, the conversion option is so far out of the money that it is almost worthless. Here, the convertible is called busted. Its behavior is much like a non-convertible bond or other fixed income instrument.

For example, a call that is at a strike/stock of 110% is 10% "out of the money" and the implied volatility or annualized premium for this call can be compared with another company's calls that are also 10% "out of the money".
Sponsors Center ...

Generally, the option that is included when you buy these bonds is well "out of the money" at the outset. In general you accept a lower yield, in return for the possibility of a gain by converting to shares.

Equity Value = Market capitalization + fair value of all stock options (in the money and out of the money), ...

As with financial options, the interesting question is when to exercise the option: certainly not when it is out of the money (the cost of investing exceeds the benefit).

Congressionally Sponsored Stock Option Expense and Accounting Manipulation
Put Option - Definition of a Put Option
In The Money Option - Definition of In The Money Futures Options
Out Of The Money Options - Definition of Out of The Money Futures ...

This can be anywhere from 15% to 28% or more, depending on your holding period and income bracket -- that is a big chunk out of the money you are expecting to funnel to the bank.

If an option contract expires when the strike price is on the wrong side of the market price, the contract is out of the money.
Output Gap: ...

Definition: Letting an option expire because on its expiration date it has no value. Investors say that the option expired "out of the money".

A call is in the money when the current market value of the stock is above the strike price. It is out of the money when the current market value is below the strike price, and at the money when the two amounts are equal.

Out-of-the-Money: If an option contract expires when the strike price is on the wrong side of the market price, the contract is out of the money.

Binary Option - Is an option that has two outcomes. Generally, it is structured to pay a predetermined fixed amount when in the money or pay nothing when out of the money.

This is a term used to describe when an investor reaches a position where they experience loss. A call option is out-of-the-money if the expiry price is below its strike price. A put option is out of the money if the expiry price is above its strike ...

of a call option when its strike price is higher than the market price of the underlying stock.
2. The condition of a put option when its strike price is lower than the market price of the underlying stock.
Also known as "out of the money." ...

For example, if the March COMEX silver futures contract is trading at $6 an ounce, a March call with a strike price of $5.50 would be considered in-the-money by $0.50 an ounce. Related: put. Antithesis of Out of the money.

Other Long Term Liabilities
Other Sources
Out Of The Money
Overbought\Oversold Indicator
Overfunded pension plan
Overlay strategy
Overnight repo
Overreaction hypothesis
Over-the-counter market (OTC) ...

OSE - Osaka Securities Exchange (Japan)
OTC - over the counter
OTM - out of the money (options)
OTOB - Oesterreichische Termin und Optionborse (Austria, derivatives exchange in Vienna)
OTT - over the top (warrant) ...

Under this agreement 1000 was deposited by each party with trustees, who were directed by the trust-deed to pay over to either party, out of the money deposited by the other, any sum which might be awarded as damages by the umpire named in the deed, ...

See also: Exercise price, Saving, Expense, Bills, Banks