knock-out option

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Knock-out option

An option that- is worthless at expiration if the underlying commodity or currency price reaches a specific price level.

Knock-Out Option

An option contract that automatically expires, even before the expiration date, if the underlying asset reaches a certain price that would be disadvantageous to the option writer. If this price (called the knock-out) is reached, the option becomes worthless. Most of the time, the knock-out results in the holder losing the premium, though some knock-out options, known as rebate barrier options, refund part of it. See also: Barrier option.

knock-out option

An option that loses its entire value in the event the underlying asset crosses a predetermined price level.
References in periodicals archive ?
To that aim, Naz has employed high quality sparring in the Dominican Republic's Antonio Chelo Diaz, rated higher than Sanchez as the WBO number four, and unbeaten Mexican David Murillo, who is 23-0 with 18 knock-outs.
The Knock-Outs will see contestants whittled down to 12.
The Zimbabwean, who was travelling to England from Africa yesterday to prepare for the championship fight, has been defeated twice, but has 17 wins to his name, all but one from knock-outs.
A lot of that muscle he had was slowing him down and when you think you can punch harder, you go for knock-outs.
But a win over Monaco in their Group A showdown will clinch a place in the knock-outs and Gerrard is the trump card.
But Kashiwa, who earned their lead through Eduardo and Kosuke Taketomi's brace, held on to book their spot in the knock-outs and leave former winners Jeonbuk sweating.
The cup knock-outs will have hit them hard and now the target will be to get into the Champions League places.
e former WBC and WBA light A light middleweight champion - he lost the belts to Floyd Mayweather last year on a majority decision - has an amazing record of 43 wins of which 31 were knock-outs.
Sowah is a 30-yearold from Ghana and has had back-to-back knock-outs to secure his title chance.
Recently he has had four wins, three via knock-outs, which indicates just how much power he has built into his punching.
Burns said: "People know I don't go looking for knock-outs but if I sense they guy is hurting I will not hesitate to get in and finish it off.
Clark faces a fighter wh has yet to be beaten in 14 bouts and his first and last fights were won by first-round knock-outs.