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Wasting Asset




An investment that loses value over time.


Additional Comments:

Options have set expiration dates and lose value as time passes, so they are considered wasting assets.

Related Terms:

Expiration Day
Practically, it is the close of business on the third Friday of the month because we ...

Theta
(decay) - The sensitivity of an option price to the variable of time to Expiration. Remember ...

Options Expiration Day
Options cease trading on the third Friday of their expiration month and expire at 11:59AM Central ...





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