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Equity
represents the value of the shares issued by a company, denoting the ownership interest held by shareholders in the corporation.
Call Option
A monetary agreement allowing the possessor the choice, yet not the compulsion, to acquire a stock, bond, commodity, or any other asset for a prearranged price within a set interval.
Out-Of-The-Money
A term used in options trading to describe an option that has no intrinsic value. For a call option, this is when the strike price is above the market price of the underlying asset; for a put option, it's the opposite.
Exercising Option
The act of utilizing the right to buy or sell an underlying asset at a predetermined price before the expiration date.
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