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Premium

Stock market Premature distributionPremium bond

Premium bonds (all) get amortized.
Constant yield method is the most accurate.
Premiums on bonds are not tax losses (Nice Try).

 


Premium, Definition
(1) The payment an option buyer makes to the option writer for granting an option contract; (2) the amount a price would be increased to purchase a better quality commodity; ...

Premium
The price paid by a buyer to a seller of an option quoted on a per-share basis. The premium will usually exceed the intrinsic value of the option because of its time value.

Premium
An amount of money paid above the regular price.
Execution Premium ...

premium offer
Definition
Sales promotion technique in which two or more complementary products are sold together (see bundling) at a price lower than their combined price.

Premium
(1) The amount by which a forward rate exceeds a spot rate.
(2) The amount by which the market price of a bond exceeds its par value.
(3) Options, the price a put or call buyer must pay to a put or call seller for an option contract.

Premium bond
A bond that is selling for more than its par value.
Interest Rate Rise Affect Bonds
The Sam Reserve recently raised its target Fed funds figure for the numero uno time since March 2000. This should be just t ...

The Premium - Misunderstood Indicator
By Charles Holt, CTA
The Premium is is one of the most important equity market indicators and also a very misunderstood indicator.

Risk Premium - Understanding The Price Of Success
In Spanish, there is a phrase "no vale la pena" and it can be translated "it isn't worth it." This is the classic decision that an investor is forced to make in the stock market.

Option premiums are determined the same way futures prices are determined, through active competition between buyers and sellers.

Control premium is an amount that a buyer is usually willing to pay over the current market price of a company.

Vanishing premium policies are a form of whole life policy contracts that make use of accrued dividends to cover the costs of the premiums on the policy.

ETF Discounts & Premiums
In comparison to mutual funds, ETFs are not traded at a price equal to their net asset value. Remember, mutual funds are priced nightly at a value equal to the intrinsic value of the securities held within the fund.

If you pay a premium to buy a bond, the premium is part of your cost basis in the bond. If the bond yields taxable interest, you can choose to amortize the premium.

PREMIUM - The amount by which the price paid for a security exceeds the security's par value.

Premium
For bonds and preferred stock, the premium is the amount by which the price exceeds the face, or par, value. For options markets, the premium is synonymous with the option's price. See also Discount.

Premium
A one-off payment, made at the outset, to purchase an option. The premium is a write-off unless the option is traded on either at a profit or when some or all of the premium may be recovered.
Free LME Market Data ...

Premiums paid or received and commissions are not considered. Thus, "at the money" should not be confused with an investor's break-even point on the option.
See: Deep In The Money; Deep Out Of The Money; In The Money; Out Of The Money ...

Premium - The amount by which a bond or preferred stock may sell above its par value. For options, the price that the buyer pays the writer for an option contract ("option premium" is synonymous with "the price of an ption").

Premium collected (plus any difference between stock price and strike price for out of the money covered calls only)*
Maximum Loss:
Same as owning stock less premium collected* ...

Premium Data
Data from brokers or the Internet is not normally adjusted for stock splits, consolidations, spinoffs, capital returns, and name/code changes — which distort data history and cause false trading signals.
Free Market Analysis ...

Premium
When a closed-end fund's market price is more than its underlying net asset value (NAV), it is said to be trading at a premium.

Premium. The price of the option paid by the buyer to the seller.
Premium forward spread. Forward price that is added to a spot price to calculate a forward price. It reflects the fact that the foreign interest rate is higher than the U.S.

Premium
An option contract's price.
Price-earnings (P/E) Ratio
A common stock's last closing market price per share divided by the latest reported 12-month earnings per share.

Premium The amount you pay for the option contract. Each stock has set strike prices for trading. Depending on where the strike price is in relation to the current share price, influences the amount you pay.

Premium :
There is a Premium when Swap rate is positive (the Forward rate exceeds a spot rate). This is when the interest rates of the base currency are lower than the second quoted currency-pair.
Example of USD/CAD ...

Premium - Total price of an option. The intrinsic value plus time value
Price Discovery - The generation of information about "future'' cash market prices through the futures markets.

Premium: the price paid for an option contract excluding commission transaction fees. The premium is made up of intrinsic value and time value.

PREMIUM The price of an option contract, determined on the exchange, which the buyer of the option pays to the option writer for the rights to the option contract.

premium
When investors are willing to pay more for a given stock, they are said to pay a "premium" for it.
price-to-earnings ratio (P/E ratio) ...

Premium: (1) The payment an option buyer makes to the option writer for granting an option contract; (2) the amount a price would be increased to purchase a better quality commodity; ...

Premium Forward Spread - The forward points that is added to the spot price to determine a forward price. A forward premium means that the foreign interest rate is higher than the u.s. rate for the period.

Premium
Refers to (1) the amount a price would be increased to purchase a better quality commodity; or (2) a future delivery month selling at a higher price than another; (3) cash prices that are above the futures price; ...

Premium
The excess of one futures contract price over that of another, or over the cash market price.

Premium: The price of an option-the sum of money that the option buyer pays and the option seller receives for the rights granted by the option.

Premium: 1) Total price of an option: intrinsic value plus time value. 2) Often this word is used to mean the same as time value.
Pyramiding: Using profits on a previously established position as margin for adding to that position.

Premium (cost of carry): The cost or benefit associated with carrying an open position from one day to the next calculated by using the differential in short-term interest rates between the two currencies in the pair.

Premium - The price paid by an option buyer, excluding broker commissions.
Put - A put option gives the buyer the right, but not the obligation, to sell a specific currency pair at a pre-agreed price. The opposite of a put is a call.

Premium - A price in excess of 100 percent of face value.
Prepayment - The unscheduled payment of all or part of the outstanding principal of a mortgage loan, including payments by the borrower as well as liquidations from foreclosures, condemnations, ...

Premium Waiver
A clause in an insurance policy that promises all policy premiums will be waived if the policyholders becomes seriously ill or disabled, whether temporarily, long-term or permanently, and is thus unable to pay the premiums.

Premium: the dollar amount or percentage a coin sells over its intrinsic value. Example: the American Eagle may sell at a premium of 5% to 8% subject to change, depending on market availability.

Premium - The market value of a coin less the intrinsic value of its metal content. A coin that contains $6.00 of silver (intrinsic value) and sells for $7.50 (market value) has a $1.50 premium.
S ...

Premium: The price you pay to open a put or a call.The premium is the sum of an option's intrinsic value and time value. Premiums are arrived at in the open competition of buyers and sellers.

Premium Content
Fund Alerts
Set price, price change, distribution alerts.
News Alerts ...

Premium - Securities lending fee associated with loans for which noncash collateral is involved.
Price Risk - The risk that the price of a security may change as a result of a rise or fall in market interest rates.

Premium: The price of an option consisting of the sum of its time value & intrinsic value.

Premium - The price of an option paid to open a call or put.
Preservation of Capital - A conservative investment strategy characterised by a desire to avoid risk of loss.

Premium (Warrants)
The difference of the market price of a warrant over its intrinsic value.
Premium Bond ...

Premium: In investing, a premium refers to: (1) the difference between a security's price and its par (face) value, if the security is selling above its par (face) value; ...

Premium - In the currency markets, describes the amount by which the forward or futures price exceed the spot price.
Price Transparency - Describes quotes to which every market participant has equal access.

Premium
The price of an options contract; also, in futures trading, the amount the futures price exceeds the price of the spot commodity. Related: Inverted market premium payback period.

Premium - For options, the total price of an option contract. The sum of the intrinsic value and the time value premium. For futures, the difference between the futures price and the cash price of the underlying index or commodity.

Premium-The price an investor pays the writer of an option above the options intrinsic value.
Price Earnings Ratio-The ratio of the price of a stock to the earnings per share. Or total annual profit divided by the number of shares outstanding.

Premium - In the currency markets, it is the amount of points added to the spot price to determine a forward or futures price.
Price Transparency - Every market participant has equal access to the description of quotes.

Premium: The amount by which a bond's selling price exceeds its face value. Also, the amounts paid to keep an insurance policy in force.

Premium: The payment or payments made to build an annuity fund.
Price/earnings ratio (P/E ratio): The price of a stock divided by its earnings per share.

Premium: 1) The amounts paid to keep an insurance policy in force.
2) The amount by which a bond's selling price exceeds its face value.

Premium (1) The additional payment allowed by exchange regulation for delivery of higher-than-required standards or grades of a commodity against a futures contract.

Premium :(1) This generally refers to extra money an investor is willing to pay to buy something. (2) For a bond, a premium is the amount for which the security sells above its par value.
Prepayment :The payment of a debt prior to its being due.

Premium - The price paid for a fixed-income security above its par value.

See also: Price, Option, Trade, Trading, Stock