EFTA Document EFTA01451286

option is no longer wanted) the option "knocks-out" and becomes worthless. While SY might decline to 90, our quantitative analysis indicates the probability of such a decline is significantly (double?) overpriced by the options market The premium of the option is quite sensitive to moves in SY spot - which is atypical for a lOyear option. This also results from the knockout feature. This means if SY moves quickly by 5% the option increases / decreases in value by almost half, so If SY rise