EKO participating forward strip

An EKO participating forward strip is a strategy that consists of a series of two options—a vanilla together with a European knock out (EKO)...

EONIA

EONIA (Euro Overnight Index Average) is an effective overnight rate...

Equity derivatives

An equity derivative is a an OTC or exchange-traded derivative...

Equity swap

An equity swap involves the exchange of future cash payment streams between two counterparties.

Eurex

Eurex is an electronic exchange for futures and options, dealing mainly with European-based derivatives.

EURIBOR

Euro Interbank Offered Rate is...

Eurobond

A Eurobond does not refer to the Euro currency nor to the European bond market...

Euronext.liffe

Euronext.liffe is an exchange that offers futures and options contracts...

European digital option

A European digital is an option with a European barrier.

European digital options overview

A European digital option is an option where a fixed payout is made under the conditions specified in the option's contract.

European digital with double knock out option

An eddko is a European digital option with two American knock out barriers.

European digital with European knock in

A European digital with European knock in (edeki) is a European digital option with an extra knock in barrier.

European digital with knock in option

A European digital with knock in option is a European digital option with an American knock in barrier.

European digital with knock out option

A European digital with knock out option is a European digital option with an American knock out barrier.

European knock in option

A European knock in is a vanilla option with a European barrier.

European knock out option

A European knock out is a vanilla option with a European barrier.

European range bet option

A European range bet is an option with two European barriers.

European style option

An option that can only be exercised on its expiry date.

European-American knock out option - barrier

A European-American knock out is a vanilla option with these two barriers...

Exchange rate

The price of one currency in terms of another currency.

Exchange-traded options

Options that are traded on a regulated exchange rather than OTC.

Exercise

When the option holder invokes the right to buy or sell the underlying asset as agreed in the option contract.

Exotic

Any option that is not a vanilla option.

Expiry date

A trade's expiry date is the last date on which the rights attached to an option may be exercised.

Extrinsic value

An option's extrinsic value is the difference between an option's premium and its intrinsic value.