This is called the cash reserve as it would be needed should you have to buy the shares at
your agreed strike price.
That is, if the market price of the stock is higher than the strike price, then the ETF will be obliged to sell the stock for
the agreed strike price and then buy it back at the higher market price.
Not exact matches
The deal is already favourable to the French: the
agreed - on
strike price for Hinkley C's electricity — around $ 150 per megawatt hour — is double current energy rates and could increase further if another U.K. nuclear plant currently on the drawing board is not built.
After the Supreme Court in 1911
struck down the form of resale
price maintenance enabled by fair trade laws, 59 Congress in 1937 carved out an exception for state fair trade laws through the Miller - Tydings Act.60 When the Supreme Court in 1951 ruled that producers could enforce minimum
prices only against those retailers that had signed contracts
agreeing to do so, 61 Congress responded with a law making minimum
prices enforceable against nonsigners too.62
A
price tag of around # 45 million has been quoted, although in reality Arsene Wenger will be hoping to
strike a deal, because as many fans will
agree, Morata isn't really worth that kind of money.
The buyer and seller
agree in advance on (1) the stock involved (called the «underlying security» or «underlying»), (2) the duration of the options («expiration date»), (3) the exercise
price («
strike price»), and (4) the
price of the options.
The
strike price is the
price at which the buyer and seller of options
agree to exchange the underlying asset such as the S&P 500 index.
You
agreed to sell those 100 shares at an
agreed - upon
price, known as the
strike price.
The risk is that the stock shoots way above your
agreed upon
strike price.
The buyer and seller
agree in advance on (1) the stock involved (called the «underlying security» or «underlying»), (2) the duration of the option («expiration date»), (3) the exercise
price («
strike price»), and (4) the
price of the option.
When writing a call option, the seller
agrees to deliver the specified amount of underlying shares to a buyer at the
strike price in the contract, while the seller of a put option
agrees to buy the underlying shares.
In effect, an investor with a covered - call strategy is compensated with a premium for
agreeing to sell his or her holdings at the
strike price.
Option An option is simply the right to buy (a «call» option) or sell (a «put» option) a quantity of any asset by an
agreed expiry date for a fixed («
strike»)
price.
Optionality An option gives the right to buy («call») or sell («put») shares at a fixed «
strike»
price, but only before an
agreed date when the option expires.
For a small premium, stock options give the purchaser the right, but not the obligation, to purchase or sell the underlying stock at an
agreed - upon
price, known as the
strike price, before an
agreed - upon date, known as the expiration date.
A bond option is the right, but not obligation, to buy (via a call) or sell (via a put) a specified face value of bonds at an
agreed price (the
strike price) on or before the option expiration date (in the case of American - style options) or only on the expiration date (for European - style options).
You decide to exercise your right to purchase the land at the
agreed price (the
strike), pay the owner the $ 100,000 contract
price and now you own the land.
Wouldn't the only logical way to handle this be to adjust the
strike prices based on the stock conversion ratio
agreed upon in the merger?