Exercise Settlement Amount

Business, Legal & Accounting Glossary

Definition: Exercise Settlement Amount


Exercise Settlement Amount


Full Definition of Exercise Settlement Amount


Sum payable by an index option contract writer to the option holder for each cash-settled option contract when it is exercised. It is computed as the product of the index multiplier and the difference between the option’s exercise price and the exercise settlement value of the index (which varies with the prices of the underlying securities) on the day the option exercise notice is given.


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April 23, 2024 https://payrollheaven.com/define/exercise-settlement-amount/.
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Exercise Settlement Amount. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/exercise-settlement-amount/ (accessed: April 23, 2024).
American Psychological Association (APA):
Exercise Settlement Amount. PayrollHeaven.com. Retrieved April 23, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/exercise-settlement-amount/

Definition Sources


Definitions for Exercise Settlement Amount are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.