Sentences with phrase «buyer at the exercise»

The seller of the option has the obligation to sell the commodity or futures contract or to buy it from the option buyer at the exercise price if the option is exercised.

Not exact matches

At the time of the takeover the Canadian government and foreign buyer embark on a whitewashing exercise to make the deal palatable to Canadians.
If that buyer decides to exercise his right to buy the stock at $ 50 / share then the person who sold him the call options is obligated to sell 100 shares of ABC stock to him at $ 50 / share.
If the put buyer does not exercise his or her right to sell the stock before the predetermined time, the options contract expires and the opportunity to sell the stock at the strike price will cease to exist.
If the call buyer does not exercise his or her right to buy the stock before the predetermined time, the options contract expires and the opportunity to buy the stock at the strike price will cease to exist.
Likewise, the seller of call options is obligated to sell stock at a certain price by a certain date if the buyer chooses to exercise his right.
Options Trading is a form of contract in which the buyer of the option has the right to exercise his option at a specified price within a specified period of time.
Puts can also be uncovered, if you don't have enough cash in your brokerage account to buy the security at the option's strike price, should the option buyer choose to exercise it.
Within the maturity period (two months in this example), the buyer of the option can call it and purchase at the exercise price (100 in this example).
The buyer can just let the option go unexercised if the buyer does not want the stock at the exercise price.
Likewise, the seller of a call option is obligated to sell stock at a certain price by a certain date if the buyer chooses to exercise his right.
Options can be exercised by the option buyer at any time on or before their expiration date.
If that buyer decides to exercise his right to buy the stock at $ 35 / share then the person who sold him the call option is obligated to sell 100 shares of XYZ stock to him at $ 35 / share.
To his horror, ABC is at $ 30 on expiration day and the option buyer is exercising his right to pay $ 25 / share for 100 shares.
While what @quid says is true, it should also be noted that as a put seller, one needs to be aware that the buyer can decide to exercise early, at any time during the contract's life, and you're on the hook.
The seller of a call option, also referred to as a writer, is obligated to sell the shares of the underlying stock at the strike price if a buyer decides to exercise the option to buy the stock.
If an option buyer's position becomes profitable and he is able to exercise his option, the option seller will be required to take the opposite position which will be a loss at the time it is opened.
The buyer of the put would exercise the right to sell to you at $ 35.
Your buyer would also exercise their put, forcing you to buy their shares at $ 35 / share.
If the price of the security falls below the strike price before the expiration date, the buyer exercises his option and sells the security at the strike price thus saving himself from the loss of selling at the lower current market price; however, if the price of the security remains the same or increases, he can choose to not exercise the option and earn profit.
Call Option is a derivative contract between two parties wherein the buyer of the call option has the right to be able to exercise his option and buy a particular asset during a specified period of time, at a specified price.
The price at which the buyer of a call (put) option may choose to exercise his right to purchase (sell) the underlying futures contract.
An option which gives the buyer the right, but not the obligation, to sell the underlying futures contract at a particular price (strike or exercise price) on or before a particular date.
If the market price falls, the put buyer can exercise his right to sell at the higher price.
If the buyer does exercise his right, you must buy 100 shares of the stock at the strike price.
Conversely, a put option gives an investor the right, but not the obligation, to sell an underlying security at a specified price (strike) within a specific time period, therefore a buyer of a put may exercise the put and benefit when the underlying security goes below the option strike.
The strike price (or exercise price), is the price at which buyers can exercise their rights under the contract.
First of all, the statute does not apply at all to rent to own contracts with a term of 180 days or less, so if your tenant - buyer can exercise the option within 180 days, you don't have to worry about the statute.
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