Zero cost

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Revision as of 13:09, 7 August 2013 by imported>Doug Williamson
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  1. A zero cost collar is an options hedging structure which has a zero net premium payable by the hedging entity. The profit for the provider - and the true cost for the hedger - is built in to the related strike prices of the options, from which the collar is constructed.#Any structure which has no cost, or which may appear to have no cost.

See also