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Term of the Day
balloon option
balloon note
balloon payment
Definition
Contract
option
with a
strike price
that
increases
by a specified
ratio
after an
asset
price
reaches
a stated threshold. For example, if an asset goes above $100 per
unit
, the
strike
price
may
increase
by $4 for every
dollar
more the asset reaches.
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Nearby Terms
balloon interest
balloon loan
balloon maturity
balloon mortgage
balloon note
balloon option
balloon payment
balloon risk
ballot
ballot paper
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Popular 'Options' Terms
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