Template:2002 ISDA Equity Derivatives Definitions 2.3: Difference between revisions
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::(i) where “'''{{eqderivprov|Cash Settlement}}'''” is applicable, to receive from {{eqderivprov|Seller}} an {{eqderivprov|Option Cash Settlement Amount}} if the {{eqderivprov|Settlement Price}} exceeds the Strike Price; and <br> | ::(i) where “'''{{eqderivprov|Cash Settlement}}'''” is applicable, to receive from {{eqderivprov|Seller}} an {{eqderivprov|Option Cash Settlement Amount}} if the {{eqderivprov|Settlement Price}} exceeds the Strike Price; and <br> | ||
::(ii) where “'''{{eqderivprov|Physical Settlement}}'''” is applicable, to purchase {{eqderivprov|Shares}} or {{eqderivprov|Baskets}} of {{eqderivprov|Shares}} from {{eqderivprov|Seller}} at the {{eqderivprov|Settlement Price}} per {{eqderivprov|Share}} or {{eqderivprov|Basket}}, <br> | ::(ii) where “'''{{eqderivprov|Physical Settlement}}'''” is applicable, to purchase {{eqderivprov|Shares}} or {{eqderivprov|Baskets}} of {{eqderivprov|Shares}} from {{eqderivprov|Seller}} at the {{eqderivprov|Settlement Price}} per {{eqderivprov|Share}} or {{eqderivprov|Basket}}, <br> | ||
in each case as more particularly provided in or pursuant to these Definitions and the related {{eqderivprov|Confirmation}}. <br> | :in each case as more particularly provided in or pursuant to these Definitions and the related {{eqderivprov|Confirmation}}. <br> | ||
:(b) '''{{eqderivprov|Put}}'''. “'''{{eqderivprov|Put}}'''” means an {{eqderivprov|Option Transaction}} entitling {{eqderivprov|Buyer}} upon exercise: <br> | :(b) '''{{eqderivprov|Put}}'''. “'''{{eqderivprov|Put}}'''” means an {{eqderivprov|Option Transaction}} entitling {{eqderivprov|Buyer}} upon exercise: <br> | ||
::(i) where “'''{{eqderivprov|Cash Settlement}}'''” is applicable, to receive from {{eqderivprov|Seller}} an {{eqderivprov|Option Cash Settlement Amount}} if the {{eqderivprov|Strike Price}} exceeds the {{eqderivprov|Settlement Price}}; and <br> | ::(i) where “'''{{eqderivprov|Cash Settlement}}'''” is applicable, to receive from {{eqderivprov|Seller}} an {{eqderivprov|Option Cash Settlement Amount}} if the {{eqderivprov|Strike Price}} exceeds the {{eqderivprov|Settlement Price}}; and <br> | ||
::(ii) where “'''{{eqderivprov|Physical Settlement}}'''” is applicable, to sell {{eqderivprov|Shares}} or {{eqderivprov|Baskets}} of {{eqderivprov|Shares}} to {{eqderivprov|Seller}} at the {{eqderivprov|Settlement Price}} per {{eqderivprov|Share}} or {{eqderivprov|Basket}}, <br> | ::(ii) where “'''{{eqderivprov|Physical Settlement}}'''” is applicable, to sell {{eqderivprov|Shares}} or {{eqderivprov|Baskets}} of {{eqderivprov|Shares}} to {{eqderivprov|Seller}} at the {{eqderivprov|Settlement Price}} per {{eqderivprov|Share}} or {{eqderivprov|Basket}}, <br> | ||
in each case as more particularly provided in or pursuant to these Definitions and the related {{eqderivprov|Confirmation}}.<br> | :in each case as more particularly provided in or pursuant to these Definitions and the related {{eqderivprov|Confirmation}}.<br> | ||
Revision as of 10:06, 25 April 2018
Section 2.3. Option Type.
- (a) Call. “Call” means an Option Transaction entitling Buyer upon exercise:
- (i) where “Cash Settlement” is applicable, to receive from Seller an Option Cash Settlement Amount if the Settlement Price exceeds the Strike Price; and
- (ii) where “Physical Settlement” is applicable, to purchase Shares or Baskets of Shares from Seller at the Settlement Price per Share or Basket,
- (i) where “Cash Settlement” is applicable, to receive from Seller an Option Cash Settlement Amount if the Settlement Price exceeds the Strike Price; and
- in each case as more particularly provided in or pursuant to these Definitions and the related Confirmation.
- (b) Put. “Put” means an Option Transaction entitling Buyer upon exercise:
- (i) where “Cash Settlement” is applicable, to receive from Seller an Option Cash Settlement Amount if the Strike Price exceeds the Settlement Price; and
- (ii) where “Physical Settlement” is applicable, to sell Shares or Baskets of Shares to Seller at the Settlement Price per Share or Basket,
- (i) where “Cash Settlement” is applicable, to receive from Seller an Option Cash Settlement Amount if the Strike Price exceeds the Settlement Price; and
- in each case as more particularly provided in or pursuant to these Definitions and the related Confirmation.