A bull call spread consists of one long call with a lower strike price and one short call with a higher strike price. A bull call spread is established for a net debit (or net cost) and profits as the underlying stock rises in price.
What is Credit money backed by? What is a credit rating? What is a credit spread? What is a home equity line of credit? I have an unsecuritized line of credit for $50,000 at 8.50%. How can I use this to make money? 1. Which of the following statements accurately describe a line...
What is the risk to investors on bonds that have a call feature? What is meant by the term collateral? By hypothecation? (1) What is a Treasury bill? (2) How risky is it? What is a credit rating? What is a credit spread?
Whatever you call it and however you organize it, there are three key points:You should try to include everyone who was involved in the incident response in the post-incident review. Including all of these voices is important because different people will have different perspectives and ...
When such a pre-owned annuity is available for purchase we call that a Secondary Market Annuity (SMA).Annuity rates for secondary market annuities are often based on the interest rates in effect at the time the original annuity was created. For example, if interest rates were 7% in 2000 ...
The average bid-ask spread of the product is displayed in ticks. The smaller the number of ticks, the tighter the spread of the product is and hence t...
Werner is alluding to the time value of money, a concept that simply states a dollar today is more valuable than a dollar at some point in the future. It acknowledges that investing a sum of money today is generally more valuable than investing the same amount in the future due to factors...
Let’s consider two broad categories of multi-leg option strategy — we’ll look at debit spreads in this lesson and credit spreads in the next. Debit spreads versus credit spreads A debit spread is an option strategy where you buy and sell options of the same class — that is, the ...
Unlike a credit spread, a debit spread results in a premium debited or paid from the trader's or investor's account when the position is opened. Debit spreads are primarily used to offset the costs associated with owning long options positions. For example, a trader buys one May put option...
Since the initiation of a bear call spread garners an upfront premium, it is also known as a credit call spread or a short call spread. This strategy generates premium income based on an options trader's bearish view of a stock, index, or another financial instrument. A bear call spread...