From The Jolly Contrarian
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| [[Knock-in Event - Equity Derivatives Provision|If]] you have forgotten what it is like to have a tension headache, and for some reason feel like being reminded, the sterling work of {{icds}} on Section {{eqderivprov|1.44}} might just be the aneurysm you are looking for.
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| It is basically simple but good GOD they make a meal of it. If you stipulate a {{eqderivprov|Knock-In Price}} ''below'' your strike price, if the {{eqderivprov|Underlier}} falls far enough to hit that price, or go below it, you have a {{eqderivprov|Knock-In Event}}. If your {{eqderivprov|Knock-In Price}} is above your initial strike, then the {{eqderivprov|Underlier}} has to go ''up'' to hit it. Whether you have hit it is measured at specified certain times on certain dates.
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| Can we envisage a circumstance in which the {{eqderivprov|Knock-In Reference Security}} is not the {{eqderivprov|Underlier}}? Well, I can’t but I am sure someone at [[Goldman]] could think of one.
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Latest revision as of 18:27, 9 May 2022