Also found in: Medical, Acronyms.


Out-of-the-Money Option

1. A call option with a strike price more than the value of the underlying asset.

2. A put option with a strike price less than the value of the underlying asset.

In both these situations, the option contract has no intrinsic value. If an option is deep out of the money, it is unlikely that the option will be in-the money by the expiration date. If possible, out-of-the-money options are sold; if not, they expire worthless and the option holder loses the premium.
References in periodicals archive ?
14) This applies to good TLP as well as to the fact that the OTM FST had less than a month to prepare before the first units arrived.
However, DRO does not have enough detention beds to accommodate every OTM that is apprehended.
Na-Mt and OTM were supplied in quantities corresponding to the PP and Ma-g-PP by using a loss-in-weight feeder.
ART are proud that OTM Technologies decided to integrate ART's simpliWrite handwriting recognition software in the VPen," says Eran Aharonson, President of ART Advanced Recognitions Technologies, Inc.
When a write occurs on the original volume, OTM pauses it and copies the old corresponding data to its cache file, immediately sending the original write data to the hard drive.
Top prices: Steers - LR&D Thomas, Faeldre, Dyffryn Ardudwy; Heifers - JT Rowlands, Mynydd Adda, Llanddeusant; OTM (ppk & PS1,580ph) - Archer Farms Anglesey Ltd, Llwydiarth Fawr, Llanerch Y Medd; Cow & calf - T Roberts, Ty Isaf, Tudweiliog.
It will also put hyper-local mobile on the map as far as advertising campaigns are concerned,” said Dmitry Lazarev, CEO of OTM Russia.
OTM is the ideal meeting point for travel trade members, Corporate and Business Travel Decision Makers & Independent Travellers.
The transaction will form a single unified global team in the OTM space which will work on worldwide deployments with added capabilities in the Asia-Pacific region.
During the meeting, the setting up of three new sections of OTM in France was announced, raising the number of the organisation's representations in host countries of the Tunisian community (Arab, African and European countries, United States and Canada) to 138.
This grant, awarded by the US Department of Energy (DOE), will fund OTM equipment and systems development.
Top prices Steers & heifers (p/kg) -G Hughes Glangors, Llanbabo; Steers (pounds 1,273ph) -A Williams, Cae Mawr, Llanfechell; Heifers (pounds 1,165ph) -JI Jones, Llwyn Ednyfed, Llangefni; OTM steers -JG Williams, Cemaes Fawr.