Definition of Area yield options contract

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TeachMeFinance.com - explain Area yield options contract



Area yield options contract

The term 'Area yield options contract ' as it applies to the area of agriculture can be defined as ' A contract entitling the holder to receive a payment when the area yield is below (above) the put (call) option strike yield. The strike yield is the yield at which the holder of an option contract can exercise the option'.

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Mark McCracken

Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English".


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