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after-hours trading
After-hours trading is stock trading which takes place after the  more...
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aftermarket
The aftermarket, also called the secondary market, is the market  more...
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American Association of Individual Investors
American Association of Individual Investors (AAII) is a Chicago-based, investor  more...
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American Stock Exchange
The American Stock Exchange is one of the largest organized  more...
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American-style option
An American-style option is a put or call option that  more...
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arbitrage
Arbitrage is a financial transaction that involves a simultaneous purchase  more...
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bid
In practical terms, the bid is the available price at  more...
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bid/ask spread
The bid/ask spread is the difference between the price sellers  more...
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Black-Scholes Option Pricing Model
The Black-Scholes Option Pricing Model predicts an option’s price given  more...
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break-even point
The break-even point for any investment is the price at  more...
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call
A call is a type of option contract. A  more...
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call option
A call option is an option contract that gives the  more...
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CBOE
The CBOE, or Chicago Board Options Exchange, was founded in  more...
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CBOT
The CBOT, or Chicago Board of Trade, is the world’s  more...
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COMEX
Commodity Exchange Inc. (COMEX) was established in 1933 through the  more...
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Commodity Exchange
A commodity exchange is a market organized to allow for  more...
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contract size
Contract size is the deliverable amount on a contract.  more...
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covered call
A covered call is a short call option which is  more...
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covered option
A covered option is either a put or a call  more...
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covered put
A covered put is a put option which is sold  more...
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CUSIP
CUSIP is an abbreviation for Committee on Uniform Securities Identification  more...
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deep in the money
A deep in the money option is one that is  more...
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deep out of the money
A deep out of the money option is presently worthless. An  more...
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denomination
The word denomination has three distinct but closely related uses  more...
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derivative
A derivative, or derivative security, is an asset whose price  more...
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derivative security
A derivative security is an asset whose price is based  more...
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double witching hour
Double witching hour refers to the final hour of the  more...
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downgrade
A downgrade is a reduction in the rating awarded a  more...
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downside protection
Downside protection is a cushion against the potential loss resulting  more...
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Employee Stock Ownership Plan
Employee stock ownership plan (ESOP), also known as stock purchase  more...
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European-style option
A European-style option is an option that may be exercised  more...
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exercise price
The exercise price, or strike price, is the price at  more...
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expiration date
In derivatives markets, the expiration date is the date that  more...
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face value
Face value is the nominal, or stated, amount of security.  more...
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futures option
A futures option is an option on a futures contract.  more...
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implied volatility
The implied volatility of an asset is an estimate of  more...
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in escrow
An item of value is in escrow when that item  more...
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intrinsic value
The actual value of a security, as opposed to its  more...
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LEAPS
LEAPS, or Long-Term Equity Anticipation Securities, are equity or index  more...
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long position
A long position in the stock market means that an  more...
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Merc
The Merc commonly refers to Chicago Mercantile Exchange (CME).  more...
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naked option
A naked option is an option contract that creates potentially  more...
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New York Stock Exchange
The New York Stock Exchange (NYSE) is a for-profit organization  more...
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OEX
OEX is the ticker symbol for the S&P 100 stock  more...
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option account
An option account is an account opened with an options  more...
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option chain
An option chain is a listing of available option strike  more...
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option contract
An option contract, sometimes simply called an option, is an  more...
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option holder
An option holder is an individual or entity that has  more...
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option premium
Option premium refers to the per-share amount that a buyer  more...
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option writer
An option writer is an individual or entity that has  more...
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OTC Bulletin Board
The OTC Bulletin Board is an automated trading system managed  more...
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out of the money
An option is out of the money if it cannot  more...
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quote
In the financial markets, a quote is the price at  more...
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rating service
A rating service is an organization that provides assessments of  more...
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underlying security
Also called an underlier, an underlying security is the security  more...
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warrant
A warrant, or stock warrant, is a security issued by  more...
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Wilshire 5000
The Wilshire 5000 Index was created by Wilshire Associates in  more...
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XAU Index
The XAU Index represents the symbol of the Philadelphia Gold  more...
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