See Also: Put-call parity relationship(money)
Put call parity relationship(finance)
Put call parity(finance)
Put-call parity(money)
Money at Call(money)
Call money rate(money)
Call money rate(finance)
Tight money or dear money(finance)
relationship(dictionary)
Relationship(medicine)

Put-call parity relationship (money)


Definition: [crh] The relationship between the price of a put and the price of a call on the same underlying security with thDefinition: e same expiration date, which prevents arbitrage opportunities. Holding the underlying Definition: stock and buying a put will deliver the exact payoff as buying one call and investing the present value (PV) of the exercise price. The call value equals C = S + P - PV(k).