BULL PUT SPREAD


Meaning of BULL PUT SPREAD in English

The purchase of a put with a low strike price against the sale of a call with a higher strike price; prices are expected to rise. The maximum potential profit equals the net premium received. The maximum loss is calculated as follows: (high strike price - low strike price) - net premium received where net premium received = premiums paid - premiums received.

A guide to futures and options market technology English dictionary.      Английский словарь-руководство по фьючерсам и опционам рыночных технологий .