Out-of-the-money
Moneyness of a crappy kind. Your option has some time value but no — well, negative[1] — intrinsic value.
See also
- Flawed asset
- The moneyness hokey-cokey: in-the-money, out-of-the-money and at-the-money
- Options
- ↑ If time value is always positive, then for an option to be out-of-the-money its intrinsic value must have a higher negative value, right?