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Lookback option
Lookback optionAn exotic option that allows investors to "look back" at the underlying prices occurring over the life of the option, and then exercise based on the underlying asset's optimal value. RELATED TERMS-------------------------------------- Option The right but not the obligation to buy or sell a fixed quantity of a commodity, currency or security at a fixed price on or until a particular date. Underlying 1) In derivatives, the security that must be delivered when a derivative contract, such as a put or call option, is exercised. 2) In equities, the common stock that must be delivered when a warrant is exercised, or when a convertible bond or convertible preferred share is converted to common stock. Exercise To implement the right of the holder of an option to buy (in the case of a call) or sell (in the case of a put) the underlying security. Value The worth or desirability of something expressed as an amount of money. SIMILAR TERMS-------------------------------------- Look Used for listed equity securities. Look Communications Look Communications is one of Canada's largest companies. Look thru A method for calculating US taxes owed on income from controlled foreign corporations that was introduced by the Tax Reform Act of 1986. Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. LOOKSMART Limited LOOKSMART Limited is a large Australian company in the field of software and services. Their Australian Stock Exchange (ASX) code is LOK. PREVIOUS AND NEXT TERMS-------------------------------------- Long-term investor A person who makes investments for a period of at least five years in order to finance his or her long-term goals. Long-term liabilities Debts of a company which are not due for repayment in the next accounting period. Long-term loss A loss on the sale of a capital asset held less than 12 months that can be used to offset a capital gain. Look Used for listed equity securities. Look thru A method for calculating US taxes owed on income from controlled foreign corporations that was introduced by the Tax Reform Act of 1986. Lookback option Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Loophole A legal way of avoiding tax by exploiting part of a law. Loose credit Policy by the Federal Reserve Board to make loans less expensive and more available by reducing interest rates through market operations. Loss The opposite of gain. Loss adjuster An independent assessor called in by an insurance company to check the validity of claims. We thank you for using the Financial Dictionary to search for Lookback option. If you have a better definition for Lookback option than the one presented here, please let us know by making use of the suggest a term option. This definition of Lookback option may be disputed by other professionals. Our attempt is to provide easy definitions on Lookback option and any other medical topic for the public at large.
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