Uncovered call
A short call option position in which the writer does not own shares of underlying stock represented by the option contracts.
Uncovered Call - A call option sold without owning the underlying. Also called a naked call.
Underlying - The asset from which the option derives its value. It is what the call owner may buy, or the put owner may sell.
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Uncovered Call Option
An uncovered call writer must deposit and maintain sufficient margin with his broker to assure that the stock can be purchased for delivery if and when he is assigned. The potential loss of uncovered call writing is unlimited.
Uncovered call A in which the does not own of underlying stock represented by his contracts. Also called a "naked" call, it is much riskier for the writer than a covered call, where the writer owns the underlying stock.
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 ...
Naked writer
See Uncovered call writing and Uncovered put writing.
Named perils insurance
An insurance policy that names specific risks covered by the policy.
unconditional Not limited by conditions uncovered call A position to sell (short) a call option where the seller (writer) does not... uncovered option A sold (written) call option or a bought put option whereby the trader does...
See: Margin; Margin Call; Market Price; Selling Short; Uncovered Call Option; Uncovered Put Option
Maturity Date
The date on which the principal amount of a loan, bond, or any other debt instrument becomes due and is to be paid in full.
This strategy is sometimes referred to as an "uncovered call" or a "short call".
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Long calls and short uncovered calls: strike price plus premium. 2. Long puts and short uncovered puts: strike price minus premium. 3. Short covered call: purchase price minus premium. 4.
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What rhymes with uncover?
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Naked writer
Definition: [crh] See Uncovered call writing and Uncovered put writing.
This type of naked option is sometimes called an uncovered call. Similarly, the uncovered put is a naked option contract in which the writer does not have a short position in the asset.
If the holder exercises the option, the stock must be delivered, but, because the writer already owns the stock, risk is limited. This is the opposite of an uncovered call, when the writer sells a call for a stock that he/she does not already own, ...
A call is covered when the writer of the call owns the underlying shares. If the writer does not own the underlying shares, the call is uncovered. Covered calls can be written in a registered account such as an RRSP, but uncovered calls cannot.
 See also: Covered Call, Banks, Exercise price, Expense, Expected return
  
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