# What are call options and puts

When a call option is in-the-money i. This article is about financial options. Retrieved from " https: Similarly if the buyer is making loss on his position i.

Views Read Edit View history. The buyer pays a fee called a premium for this right. By using this site, you agree to the Terms of Use and Privacy Policy. Similarly if the buyer is making loss on his position i. The most common method used is the Black—Scholes formula.

By using this site, you agree to the Terms of Use and Privacy Policy. The buyer pays a fee called a premium for this right. Some of them are as follows:. Adjustment to Call Option:

The price of the call contract must reflect the "likelihood" or chance of the call finishing in-the-money. Similarly if the buyer is making loss on his position i. Some of them are as follows:.

Some of them are as follows:. Upper Saddle River, New Jersey October Learn how and when to remove this template message. Retrieved from " https: This article is about financial options.

From Wikipedia, the free encyclopedia. Views Read Edit View history. Similarly if the buyer is making loss on his position i.

October Learn how and when to remove this template message. Unsourced material may be challenged and removed. Energy derivative Freight derivative Inflation derivative Property derivative Weather derivative.

This article is about financial options. When a call option is in-the-money i. Energy derivative Freight derivative Inflation derivative Property derivative Weather derivative. Retrieved from " https: The seller or "writer" is obligated to sell the commodity or financial instrument to the buyer if the buyer so decides.