Moneyness definition

(derivative securities) The degree to which a derivative security is in the money, because of the relationship of the price of the underlying security to a conversion price or exercise price.

As an option's expiration date approaches only its moneyness has value.

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(economics, banking) The degree to which an asset approximates cash in its ready liquidity and the low transactions costs in realizing that liquidity.

In good times everything seems to have moneyness; in bad times, some money doesn't have much moneyness.

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Other Word Forms

Noun

Singular:
moneyness
Plural:
moneynesses

Origin of moneyness

  • money +‎ -ness

    From Wiktionary