Glossary

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Knock In
A call or put option that does not take effect until the underlying security reaches a predetermined price. There are two varieties of knock ins: 'down and ins' take effect when the underlying security falls to a certain price, and 'up and ins' take effect when the underlying security rises to a certain price. (See also Knock Out).

Knock Out
A call or put option that expires if the underlying security reaches a predetermined price. There are two varieties of knock outs: 'down and outs' expire if the underlying security falls to a certain price, and 'up and outs' expire if the underlying security rises to a certain price. (See also Knock In).

A, B, C, D, E, F, G, H, I, J, K, L, M, N, O, P, Q, R, S, T, U, V, W, X, Y, Z.

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