Definition of Option on option - Finance dictionary
Option on option(See Chapter 49 of the Vernimmen)
An Option on an Option gives the holder the right to buy another Option. As the Value of an Option is below the Value of the underlying asset, the price of an Option on an Option will be low.
Option on option(See Chapter 49 of the Vernimmen)
An Option on an Option gives the holder the right to buy another Option. As the Value of an Option is below the Value of the underlying asset, the price of an Option on an Option will be low.
An Option on an Option gives the holder the right to buy another Option. As the Value of an Option is below the Value of the underlying asset, the price of an Option on an Option will be low.