The act of closing out one derivative position that is part of a more complex investment strategy. Examples of multi-legged options include straddles, strangles, straps, and spreads. Legging out removes the investor from exposure to the derivative that makes up that leg of the overall transaction.
Related information about leg out:
- Leg Out Definition | Investopedia
One side of a complex option transaction. Leg out means to close out, or unwind, one leg of a derivative position. This effectively removes any additional ...
- Leg out - Merriam-Webster Online
Definition of leg out from the Merriam-Webster Online Dictionary with audio pronunciations, thesaurus, Word of the Day, and word games.
- Urban Dictionary: leg out
the act of beginning to dance at the recognition of a familiar or stimulating musical number.
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