Parity

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Related to Parity checking: Odd parity, Even parity

Parity

For convertibles, level at which a convertible security's market price equals the aggregate value of the underlying common stock; value/worth of the convertible bond considered only as an equity instrument (Conversion ratio times common price). See: Conversion value. For international parity, U.S.$ price of a foreign stock's last sale in an overseas market (Local currency stock price times forex rate times ADR ratio). For listed parity, condition whereby no party has floor priority, and matching thus occurs. For options parity, dollar amount by which an option is in the money. See: Intrinsic value.

Parity

1. The state of being equal. Parity is used in a variety of contexts. For example, parity is achieved when the value of a convertible security equals the value of the underlying common stock.

2. A situation in which the total of the premium and the strike price of an option are equal to the market value of the underlying asset. For example, if the premium is $5 per share and the strike is $10, then parity is achieved when the market value of the underlying is $15 per share. See also: At-the-money.

3. See: Par.

parity

The state of an option when its premium plus the strike price is equal to the market price of the underlying stock. If Amazon.com stock is selling at $17 per share, an option to buy the stock at $15 would be selling at parity if its premium is $2. See also conversion parity.
References in periodicals archive ?
Also, each channel has 1MB of parity checking dynamic RAM, with 2MB an option.
Other key standard features of the NF9016 include Hot Plug functionality, automatic server recovery, server management software, hardware monitoring and control, and parity checking on all data paths.
Other key standard features of the NF9016 include Hot Plug functionality, server management software, hardware monitoring and control, and parity checking on all data paths.
Parity checking adds 1 bit per byte, giving the ability to identify, but not correct, a bad bit which could lead to damaged or missing information.
In addition to the award-winning Gemini technology, the NetFRAME ClusterServer family offers industry leading hardware fault tolerance, including redundant components, parity checking on all data paths and ECC memory.