- This topic has 3 replies, 2 voices, and was last updated 9 years ago by
.
Viewing 4 posts - 1 through 4 (of 4 total)
- Posts
Failed to understand Bpp kit Q. no. 243 .What is a put option and what is a splot option ?
A put option is the right to sell the currency at a fixed rate (but not the obligation – you exercise the option if it is in your favour, you do not exercise it if it is not in your favour).
There is no such term as a ‘splot option’!!!
A US dollar put option is the right to sell US dollars at a fixed rate.
A Splot put option is the right to sell Splots at a fixed rate.(The company is based in Farland which has the Splot as its currency!!!)
Viewing 4 posts - 1 through 4 (of 4 total)
- You must be logged in to reply to this topic.