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Corporate & Institutional Glossary

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C
Cable Address
Cable Transfer
Call Option
Cancellation Of Certificates
Capital Gain
Capital Lease
Capital Stock
Cash Against Documents (C.A.D)
Cash Concentration
Cash Dividend
Certificate
Certificate Of Acceptance (Delivery And Acceptance)
Certificate Of Origin
Certificated Shares
Charter Party
Classified Common Stock
Clean Draft
Collecting Bank
Collection, Documentary
Commercial Invoice
Commercial Risk
Common Carrier
Community Property
Compensated Contracts
Compensation
Confirmation
Consignment
Constructive Receipt
Consul
Consular Declaration
Consular Invoice
Contract
Contract Date
Conversion
Convertibility
Correspondent Bank
Countervailing Duty
Country Risk
Cover
Cross Rate
Current TermCurrency Option
Currency Swaps
Custodian
Custodian To Minor
Custody
Customer Deadlines
Customs
Customs House Broker
Currency Option
To its holder, the purchaser, a currency option represents the right to buy or sell a certain amount of underlying currency at a specific price until a certain date. To its writer, the seller, an option represents the obligation to sell or buy a certain amount of underlying currency at a specific price until a specific date. The currency option differs from a forward or a futures purchase or sale because the forward or futures carries an obligation to buy or sell the currency.

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