Home > Terms > English, UK (UE) > Capped-style option
Capped-style option
An option with an established profit cap. A capped-style option is automatically exercised when the underlying security closes at or above the option's cap price for a call, or at or below the option's cap price for a put.
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- Part of Speech: noun
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- Industry/Domain: Financial services
- Category: Private equity
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