LOOKBACK OPTION


Meaning of LOOKBACK OPTION in English

An option that allows the buyer to choose as the option strike price any price of the underlying asset that has occurred during the life of the option. If a call , the buyer will choose the minimal price, whereas if a put , the buyer will choose the maximum price. This option will always be in the money.

Campbell R. Harvey. Hypertextual finance English glossary.      Английский словарь гипертекстовых финансов.