moneyness

English dictionary entry

Meanings

noun
  1. The degree to which a derivative security is in the money, because of the relationship of the price of the underlying security to a conversion price or exercise price.
  2. The degree to which an asset approximates cash in its ready liquidity and the low transactions costs in realizing that liquidity.

Word forms

moneyness moneynesses

Etymology

From money + -ness.

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