securities option

securities option
This is a statutory definition from the tax legislation (section 420(8), Income Tax (Earnings and Pensions) Act 2003 (ITEPA 2003)). A securities option is a right to acquire anything which is a security, as defined in section 420 of ITEPA 2003, other than one which is made available under arrangements which have a main purpose of avoiding tax or national insurance contributions (NICs). Most commonly, securities options will be over shares. Securities options include both traditional employee options, which need to be exercised by the option holder, and any right which will simply be satisfied by the delivery of securities, without being exercised.

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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  • option — op·tion 1 / äp shən/ n 1: the power or right to choose; also: a choice made or available 2: a privilege of demanding fulfillment of a contract on any day within a specified time 3: a contract conveying in exchange for the payment of a premium a… …   Law dictionary

  • Option-adjusted spread — (OAS) is the flat spread which has to be added to the treasury yield curve in a pricing model (that accounts for embedded options) to discount a security payment to match its market price. OAS is hence model dependent. This concept can be applied …   Wikipedia

  • Option adjusted spread — (OAS) is the flat spread over the treasury yield curve required to discount a security payment to match its market price. This concept can be applied to mortgage backed security (MBS), Options, Bonds and any other interest rate… …   Wikipedia

  • securities — I noun assets, bonds, capital, evidences of debts, evidences of obligations, holdings, invested property, investment, negotiables, property, shares, stocks associated concepts: corporate securities, investment securities, sale of securities II… …   Law dictionary

  • Option (finance) — Stock option redirects here. For the employee incentive, see Employee stock option. Financial markets Public market Exchange Securities Bond market Fixed income …   Wikipedia

  • option — an agreement, often for a consideration, which permits the purchase or sale of something within a stipulated time, in accordance with the terms of the agreement. For example, a right by a tenant to take up a further lease of premises, usually… …   Financial and business terms

  • option — Right of election to exercise a privilege. Contract made for consideration to keep an offer open for prescribed period. A right, which acts as a continuing offer, given for consideration, to purchase or lease property at an agreed upon price and… …   Black's law dictionary

  • Option — Gives the buyer the right, but not the obligation, to buy or sell an asset at a set price on or before a given date. Investors, not companies, issue options. Investors who purchase call options bet the stock will be worth more than the price set… …   Financial and business terms

  • Securities and Exchange Commission v. W. J. Howey Co. — SCOTUSCase Litigants=Securities and Exchange Commission v. W. J. Howey Co. ArgueDate=May 2 ArgueYear=1946 DecideDate=May 27 DecideYear=1946 FullName=Securities and Exchange Commission v. W. J. Howey Co. et al. USVol=328 USPage=293 Citation=66… …   Wikipedia

  • option to double — 1) An option by a seller to sell double the quantity of securities for which he or she has sold an option, if it is so desired. In some markets this is called a put of more option. 2) An option by a buyer to buy double the quantity of securities… …   Big dictionary of business and management

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