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Out Trades


The never-ending option Out Trades notes with interest NexTrade's idea of an expiry-free option. While we would naturally not like to cast aspersions on the soundness of this no doubt copper-bottomed concept, it did raise a few eyebrows among the options specialists consulted by FO Week. "Surely, if they have an infinitely long time horizon, the actual premium for this effectively undated insurance policy would be, er, infinite?" puzzled one...

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