A risk-free transaction in which an investor buys a put and writes a call for...
Traders buy and sell two different securities (or synthetic securities), forcing equivalent prices for equivalent securities.
An investing practice which involves a long underlying position in an asset together with a short call and long put on the asset, where both options have the same exercise price and expiration date. A conversion is offset by a synthetic short underlying position.
a riskless transaction in which the arbitrageur buys the underlying security, buys a put, and sells a call. The options have the same terms.
The simultaneous purchase of a stock, the purchase of a put, and the sale of a call. It is a riskless transaction.
a riskless strategy involving the buying of a currency and the simultaneous buying of a put and writing of a call option, both normally European-style and of the same strikes and expiration
A transaction where the asset is purchased and buys a put option and sells a call option on the asset purchased, each option having the same exercise price and expiry.