Dictionary
Thesaurus
Encyclopedia
Translator
Web
Related Searches

sell to close

 - 1 dictionary result
Financial Dictionary

Sell To Close

A phrase used by many brokerages on the street to represent the closing of a long position in option transactions.

Investopedia Commentary

An investor can sell to close either (or a combination of) puts or calls and thus will be relinquishing ownership of the option(s). The distinguishing factor of a sell to close is that the option position must have been held long in the account during the transaction.

Related Links

Options Basics Tutorial
The Importance of Time Value

See also: Buy, Buy to Close, Buy to Open, Call, Long, Open Interest, Option, Put, Sell to Open, Short

Investopedia.com. Copyright © 1999-2005 - All rights reserved. Owned and Operated by Investopedia Inc.
Cite This Source
Search another word or see sell to close on Thesaurus | Reference
FacebookTwitterFollow us: