Google
 

Wednesday, July 8, 2009

Outperformance Option

Outperformance Option
An exotic call option that's value is determined by the differing performance of two underling assets or securities. The holder gains on the amount one asset outperforms another, both of which are pre-determined. These options are typically European-style, settled in cash, and traded in the over-the-counter market.

 

No comments: