Angel One - Share Market Trading and Stock Broking
Skip to main content
Options and Futures

Capped-Style Option

A capped option, as the name suggests, is an option with a predetermined maximum profit limit. This limit is determined by the option's strike price, along with an additional cap interval for a call option or a reduction in the strike price for a put option. It is worth noting that a capped option is automatically exercised when the underlying security's closing price reaches or exceeds the cap price for a call option, or falls at or below the cap price for a put option.

Related terms

Nearby

Understand the meaning and definition of Nearby in the context of stock market, trading, and investments.

MORE
Short Hedge

Understand the meaning and definition of Short Hedge in the context of stock market, trading, and investments.

MORE
Exchange for Physicals

Understand the meaning and definition of Exchange for Physicals in the context of stock market, trading, and investments.

MORE
Option Writer

Understand the meaning and definition of Option Writer in the context of stock market, trading, and investments.

MORE
Commission Fee

Understand the meaning and definition of Commission Fee in the context of stock market, trading, and investments.

MORE
Buy On Close

Understand the meaning and definition of Buy On Close in the context of stock market, trading, and investments.

MORE

Open Free Demat Account!

Join our 3.8 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
10 Cr+DOWNLOADS

Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Scan this QR code to download the app
Get it on Google PlayDownload on the App Store