Term

The duration of the Structured Investment or Warrant. See Exercise Period.

Theta

A measure of the change in value of an Option or Warrant as the remaining life to expiration reduces. Thus, theta is used to mathematically represent the decay of a Warrant's Time Value.

Time Decay

The loss in value of a long Option position as the time to the Expiration Date decreases, other things being equal.

Time Value

As at a particular date, the value of an Option or Warrant which reflects the likelihood that it will be In-the-Money on its Expiration Date. Time Value is greater the longer the time remaining before the Expiration Date and the higher the Volatility of the Spot Price of the Underlying. Time Value is therefore the amount by which the current price of an Option or Warrant exceeds its Intrinsic Value.

Turbos

Turbos offer enhanced leverage to rising (Call)/falling (Put) markets through a barrier/knock-out level. Holders gain the option to buy/sell the underlying at a predetermined price on a fixed date.

 

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