Quanto Option An option in the currency of a country whose payout is in another currency. Loading... Sitemap ...
Quanto Option - An option the payout for which is denominated in an index other than the underlying cash instrument. Quote - The offer price of a security. ...
Quanto Option: An option in one currency or interest rate that pays out in another currency or interest rate. Used when an investor favors a foreign index, but is bearish on the outlook for that country's currency.
Quanto option: An option in which the foreign exchange risk in the underlying instrument has been removed. Quota: ...
A quanto option is an option on some underlying in one currency but paid in another currency. For example a standard call option on IBM, which is denominated in dollars pays $MAX(S-K,0) (where S is the stock price at maturity and K is the strike).
Quanto Option An option in which the payoff is the greater of zero or the value of a Quanto Forward (q.v.) contract. Quanto Swap A swap in which the underlying price is quantity adjusted, as with the Quanto Forward and Quanto Option.
Quantity-Adjusting Option - Quanto Option A cash-settled, cross-currency derivative in which the underlying asset is denominated in a currency other than the currency in which the option is settled.
offer retail buyers a participation if the equity index rises over time, but which provides guaranteed return of capital if the index falls. Sometimes these products can take the form of exotic options (for example Asian options or Quanto options).
quanto option A derivative denominated in one currency that settles in another.Quanto is short... quarter One three-month period of four into which the year is divided on the financial...
See also: Option, Stock, Underlying, Cash, Analysis
 
|