A type of stock option used on Asian exchanges. The strike price in this type of option is based on the average asset price during a certain period of time, defined by a range of dates called the "fixings." This type of option is less volatile than traditional options, which have a predetermined strike price.
Related information about average strike option:
- Average Strike Option Definition | Investopedia
A type of Asian option in which the strike price is based on an average of the spot rate over a period of time. The dates used to calculate the average strike price ...
- SuperDerivatives - Glossary - Average strike option
In an average strike option the strike is not predefined. Rather it is calculated as an average of the spot rate on a specific series of dates (called fixings) ...
- Arithmetic Average Strike Option
An arithmetic average strike option is a specific Asian option. Its payoff depends on a strike price which is set equal to the arithmetically made up mean of the ...
- What is average strike option? definition and meaning
Definition of average strike option: A type of stock option used on Asian exchanges. The strike price in this type of option is based on the average asset price ...
- PDF full paper - Gimac
to the values of usual average strike option, call=4.706, put=4.456, respectively. ... acterized as average strike option having pay- off of two variables, which is ...
- What is AVERAGE PRICE OPTION - The Law Dictionary
See also ASIAN OPTION, AVERAGE STRIKE OPTION.AVERAGE STRIKE OPTION A COMPLEX OPTION that grants the A25 buyer a payoff equal to the ...
- "Average Strike Options" in - Wiley Online Library
An average strike option is also known as an Asian option with floating strike. ... is used, the average strike option has a closed- form solution for the price, ...
- Asian Option
An average strike option is a cash settled or physically settled option. It is structured like a vanilla option except that its strike is set equal to the average value of ...