Graduated call writing

Definition:

Selling covered call options at incrementally rising exercise prices, so that as the price of the underlying stock rises and the options are exercised, the seller receives a higher average price than the original exercise price.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

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Statistical inference

A statistical method of drawing conclusions on unknown properties of a population based on a random sampling of data from that population.

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