EFTA Document EFTA01393168

EXAMPLE: Assume a series of XYZ range options has a specified range length from 1000 to 110011 the current level of XYZ index is either below 1000 or above 1100. the series of XYZ range options would be out of the money. INTRINSIC VALUE and TIME VALUE - It is some- times useful to consider the premium of an option as consisting of two components: intrinsic value and time value. In the case of an option other than a binary option. the intrinsic value reflects the amount, if any, by which