Derivative Engines - Options Handbook






Strike Price:

Strike price is the price level of the asset to be sold or bought at the expiry date if the option is exercised. If the option buyers exercises a Call option then the option seller has to sell the underlying asset from the strike price to the option buyer. If the option buyers exercises a Put option then the option seller has to buy the underlying asset from the strike price.

The three parameters, volatility, tenor and moneyness are needed in order to price an option. Since moneyness is a function of strike price and current price of the underlying asset, strike price affects directly the option price by changing the moneyness of the option.


Derivative Engines is a Real Time option calculator. Please see the online option pricers below.

Options Structured Products
Vanilla Options Dual Currency Deposit
Multiple Options Portfolio Asymetric Forward
Knock In Barrier Options Zero Cost Collar
Knock Out Barrier Options Seagull (3 Way Collar)