Types of Options

The Options can be classified into following types: Exchange-traded options Exchange-traded options (also called "listed options") are a class of exchange-traded derivatives. Exchange traded options have standardized contracts, and are…

Option valuation

The theoretical value of an option is evaluated according to any of several mathematical models. These models, which are developed by quantitative analysts, attempt to predict how the value of…

Option (finance)

In finance, an option is a derivative financial instrument that specifies a contract between two parties for a future transaction on an asset at a reference price. The buyer of…

Financial market efficiency

In the 1970s Eugene Fama defined an efficient financial market as “one in which prices always fully reflect available information”.The most common type of efficiency referred to in financial markets…

Financial market

In economics, a financial market is a mechanism that allows people to buy and sell (trade) financial securities (such as stocks and bonds), commodities (such as precious metals or agricultural…

Hot equity periods

In the study of financial markets Hot equity periods or Hot Issue Periods are periods of time in which many firms perform initial public offering of their equity. Firms in…