Option in one currency, but which pays out in another. Quanto options are usually used in cases when investors are confident of the underlying asset's performance, but are not confident of the performance of the currency which the underlying is denominated in.
Related information about quanto option:
- Quantity-Adjusting Option (Quanto Option) Definition | Investopedia
A cash-settled, cross-currency derivative in which the underlying asset is denominated in a currency other than the currency in which the option is settled.
- Option style - Wikipedia, the free encyclopedia
A quanto option is a cross option in which the exchange rate is fixed at the outset of the trade, typically at 1. The payoff of an IBM quanto call option would then ...
- What is quanto option? definition and meaning - InvestorWords.com
Definition of quanto option: Option in one currency, but which pays out in another. Quanto options are usually used in cases when investors are confident of the ...
- Quanto Options - MathFinance
Sep 19, 2008 ... A quanto option can be any cash-settled option, whose payoff is converted into a third currency at maturity at a pre-specified rate, called the ...
- quanto option
A derivative denominated in one currency that settles in another.Quanto is short...
- SuperDerivatives - Glossary - Quanto option
Quanto option. ... Why use a quanto option? Quanto options are very popular in the equity market. They are useful for speculators and investors who wish to ...
- Quanto Options - MathFinance
Aug 26, 2011 ... A quanto option can be any cash-settled option, whose payoff is converted into a third currency at maturity at a pre-specified rate, called the ...
- What is Quanto option? - BusinessDictionary.com
Definition of Quanto option: Guaranteed exchange rate option in one currency with payout in another, thus eliminating the foreign exchange risk. The term was ...