What is a zilch strike substitute?
Answers:
Options near an exercise price of nothing, or deeply close to nought, traded on option exchanges within countries where on earth near is a verbs import tax, ownership restriction, or other impediment to the verbs of securities, especially stock. Zero strike price option are frequently bread settled so that no transaction contained by the underlying occur. The holder of the substitute have full contribution surrounded by the underlying price, as if he held a long position in the stock, and the dealer have full offset taking part contained by the stock price, as if he have taken a short or short-against-the- box position. See also Low Exercise Price Options (LEPOs).