Google
 
Showing posts with label Front Fee. Show all posts
Showing posts with label Front Fee. Show all posts

Thursday, June 10, 2010

Front Fee

Front fee
Amount paid for initiating a compound or split-fee option contract. While all option contracts require a fee (the option premium) to be paid up-front to the seller, only compound or split-fee options require another amount (the back fee) for exercising them.