• Financial Concepts
    • Stocks
      • Stock Basics
      • Types of Stocks
      • Stock Markets
      • Stock Valuation
    • Bonds
      • Bond Basics
      • Types of Bonds
      • Bond Markets
      • Bond Valuation
    • Derivatives
      • Derivative Basics
      • Derivative Strategies
      • Swaps
      • Addressing Risk
    • Economics
      • Economics Basics
      • Economics Policy
      • Financial Institutions
  • Consumer Finance
    • Financial Planning
      • Savings Plans
      • Estate Planning
      • Insurance
      • Professional Help
    • Spending
      • Cars
      • Managing Debt
      • Thrifty Strategies
      • Prices & Inflation
    • Housing
      • Real Estate
      • Mortgages
    • Taxes
      • Tax Basics
      • Small Business and Taxes
      • Taxes and Investments
  • Investing
    • Investment Vehicles
      • Fund Basics
      • Mutual Funds
      • ETFs
      • Alternative Investments
    • Investment Strategies
      • Markets
      • Equities
      • Fixed Income
      • Behavioral
    • Portfolio Management
      • Management Approaches
      • Management Tools
      • Management Selection
  • Finance Profession
    • Career Planning
      • Qualifications
      • From The Horse’s Mouth
    • Financial Jobs
  • The FinPipe Network
    • menu-item-hidden
      • Videos
    • menu-item-hidden
      • Podcasts
  • Resources
    • menu-item-hidden
      • Bookstore
    • menu-item-hidden
      • Uncle Pipeline’s Corner
The Financial Pipeline
  • Financial Concepts
    • Stocks
      • Stock Basics
      • Types of Stocks
      • Stock Markets
      • Stock Valuation
    • Bonds
      • Bond Basics
      • Types of Bonds
      • Bond Markets
      • Bond Valuation
    • Derivatives
      • Derivative Basics
      • Derivative Strategies
      • Swaps
      • Addressing Risk
    • Economics
      • Economics Basics
      • Economics Policy
      • Financial Institutions
  • Consumer Finance
    • Financial Planning
      • Savings Plans
      • Estate Planning
      • Insurance
      • Professional Help
    • Spending
      • Cars
      • Managing Debt
      • Thrifty Strategies
      • Prices & Inflation
    • Housing
      • Real Estate
      • Mortgages
    • Taxes
      • Tax Basics
      • Small Business and Taxes
      • Taxes and Investments
  • Investing
    • Investment Vehicles
      • Fund Basics
      • Mutual Funds
      • ETFs
      • Alternative Investments
    • Investment Strategies
      • Markets
      • Equities
      • Fixed Income
      • Behavioral
    • Portfolio Management
      • Management Approaches
      • Management Tools
      • Management Selection
  • Finance Profession
    • Career Planning
      • Qualifications
      • From The Horse’s Mouth
    • Financial Jobs
  • The FinPipe Network
    • menu-item-hidden
      • Videos
    • menu-item-hidden
      • Podcasts
  • Resources
    • menu-item-hidden
      • Bookstore
    • menu-item-hidden
      • Uncle Pipeline’s Corner
  • Financial Concepts
    • Stocks
      • Stock Basics
      • Types of Stocks
      • Stock Markets
      • Stock Valuation
    • Bonds
      • Bond Basics
      • Types of Bonds
      • Bond Markets
      • Bond Valuation
    • Derivatives
      • Derivative Basics
      • Derivative Strategies
      • Swaps
      • Addressing Risk
    • Economics
      • Economics Basics
      • Economics Policy
      • Financial Institutions
  • Consumer Finance
    • Financial Planning
      • Savings Plans
      • Estate Planning
      • Insurance
      • Professional Help
    • Spending
      • Cars
      • Managing Debt
      • Thrifty Strategies
      • Prices & Inflation
    • Housing
      • Real Estate
      • Mortgages
    • Taxes
      • Tax Basics
      • Small Business and Taxes
      • Taxes and Investments
  • Investing
    • Investment Vehicles
      • Fund Basics
      • Mutual Funds
      • ETFs
      • Alternative Investments
    • Investment Strategies
      • Markets
      • Equities
      • Fixed Income
      • Behavioral
    • Portfolio Management
      • Management Approaches
      • Management Tools
      • Management Selection
  • Finance Profession
    • Career Planning
      • Qualifications
      • From The Horse’s Mouth
    • Financial Jobs
  • The FinPipe Network
    • menu-item-hidden
      • Videos
    • menu-item-hidden
      • Podcasts
  • Resources
    • menu-item-hidden
      • Bookstore
    • menu-item-hidden
      • Uncle Pipeline’s Corner
Home › CM Tooltip Glossary › Premium

Premium

  • Uncle Pipeline
  • Reading time: 1 minute

The cost associated with a derivative contract, referring to the combination of intrinsic value and time value. It usually applies to options contracts. However, it also applies to off-market forward contracts.

6 years ago

Search

Our Sponsor

Most Read

  • Understanding Why Interest Rates Change
  • Types of Derivatives: Linear and Non-Linear
  • Trading Bonds: How are Bonds Traded?

Latest Posts

  • Why do most startups fail?

  • Tax Shelter with TFSAs and RRSPs

  • Bootstrapping, Angel Investors, and Venture Capital: How Startups Raise Money

Previous Post

Potential Exposure

by Uncle Pipeline

Next Post

Put Option

by Uncle Pipeline

Founded in 1996 by a group of portfolio managers, The Financial Pipeline is dedicated to providing financial knowledge and education to anyone and everyone with even a passing interest in Finance. All of our articles are screened and edited for accuracy and impartiality. Our motto, “financial information for the rest of us,” speaks for itself.

Our aim is to provide financial information at all levels for financial consumers and investors. We have gone to great lengths to make sure our content is easily accessible and approachable. We have tailored-with-padding our articles to all levels of financial expertise. If you’ve seen and read enough on a subject, move on to the next one.

On Finpipe

  • About us
  • How to use this site
  • Podcasts
  • Uncle Pipeline’s Corner
  • Vivek Picks
  • Contributors
  • Videos
  • Bookstore
  • Glossary
  • Terms of Service

FIND US HERE

  • FP_icon_linkedin
  • FP_icon_twitter
  • FP_icon_youtube
  • FP_icon_facebook
  • FP_icon_pinterest

Categories

Subscribe

© Copyright 2021 Financial Pipeline. All rights reserved.