| 释义 |
time value The market value of an option over and above its intrinsic value. Thus the time value represents the value of the possibility that the option will be worth exercising before it expires. Clearly, an option's value declines with the passage of time, and its value at expiry will be nil if it is not in the money. At expiry the value of an option, if any, consists solely of its intrinsic value. See also: theta. |