Bermudan-style option: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Administrator (CSV import) |
imported>Doug Williamson (Expand.) |
||
| (2 intermediate revisions by 2 users not shown) | |||
| Line 4: | Line 4: | ||
The term derives from Bermuda's geographical location 'part-way' between Europe and America. | The term derives from Bermuda's geographical location 'part-way' between Europe and America. | ||
Also known more simply as a 'Bermudan option'. | |||
== See also == | == See also == | ||
* [[American-style option]] | * [[American-style option]] | ||
* [[European-style option]] | * [[European-style option]] | ||
[[Category:Risk_frameworks]] | |||
Latest revision as of 13:28, 26 October 2016
An option which can be exercised only on pre-specified dates up to its maturity.
So Bermudan options’ characteristics are part-way between European-style and American-style options in respect of their exercise dates.
The term derives from Bermuda's geographical location 'part-way' between Europe and America.
Also known more simply as a 'Bermudan option'.
