FT MarketWatch

Alligator spread

A Position consisting of a Combination of Put options and Call options that collectively create commissions so High that it is almost impossible to turn a Profit regardless of which direction the Underlier moves. The Term originates from the idea of the Spread "eating the investor alive."

Related Terms: 13 Commission, Call, Call option, Combination, High, Option, Profit, Position, Put, Put option, Spread, Term, Underlier
Other Related Pages: Category: Options Starting With: A
Additional Related Terms: 52-week high, Accrual of discount, Amortization of premium, At par, All or any part, At best, At call, All-risks coverage, At risk, Add-on service