Manuals/calci/CALLOPTION

CALLOPTION (UnderlyingPrice,ExercisePrice,Time,Interest,Volatility,Dividend)

where

• $UnderlyingPrice$ and $ExercisePrice$ are any two price values.
• $Time$ is the period value.
• $Interest$ is the rate of Interest.
  • CALLOPTION() shows the value of the Call option.

Description

CALLOPTION (UnderlyingPrice,ExercisePrice,Time,Interest,Volatility,Dividend)

• $UnderlyingPrice$ is the spot price of the underlying asset of a derivative.
• $Exerciseprice$ is the price at which an underlying security can be purchased or sold.
• $Time$ is the period for the Call.
• $Interest$ is the rate of interest.
• A call option is an agreement that gives an investor the right, but not the obligation, to buy a stock, bond, commodity or other instrument at a specified price within a specific time period.
• Call Option helps to remember that a call option gives the right to call in, or buy, an asset.The profit is on a call when the underlying asset increases in price.
• Call options are typically used by investors for three primary purposes.
• These are tax management, income generation and speculation.

See Also

• OPTIONSECURITY
• PUTOPTION
• PRICE

References

• Call Option

• List of Main Z Functions

• Z3 home