Horizontal spread

The simultaneous purchase and sale of two options that differ only in their exercise date. The New York Times Financial Glossary

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   An option strategy that involves buying and selling contracts with the same strike price but different maturities, in view of expected moves in volatility. Also known as a calendar spread.
   ► See also Option.

Financial and business terms. 2012.

Look at other dictionaries:

  • horizontal spread — The purchase of either a call or put option and the simultaneous sale of the same type of option with typically the same strike price but with a different expiration month. also referred to as a calendar spread. Chicago Board of Trade glossary… …   Financial and business terms

  • Horizontal Spread — An options strategy involving the simultaneous purchase and sale of two options of the same type, having the same strike price, but different expiration dates. An example of this would be the purchase of a Dec 20 call and the sale of a June 20… …   Investment dictionary

  • horizontal spread — A combination of options with different expiry dates, such as a long put option combined with a short put option …   Big dictionary of business and management

  • horizontal spread — /ˌhɒrɪzɒnt(ə)l spred/ noun the buying and selling of two options at the same price but with different maturity dates …   Dictionary of banking and finance

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