The value of an in-the-money option if it was exercised today (before the expiration date). For a call option, this is the difference between the current asset price and the stike price. For a put option, it is the difference between the strike price and the current asset price.
Nearby TermsExercise price Exercise settlement amount Exercise value Exercising the option Exhaust price
Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University