The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

CALL ON THE MAXIMUM Definition & Legal Meaning

Definition & Citations:

An OVERTHECOUNTER COMPLEX OPTION that grants the buyer a payoff based on the difference between a predefined STRIKE PRICE and the highest price achieved by the UNDERLYING reference ASSET over the life of the transaction. See also LOOKBACK OPTION, OPTION ON THE MAXIMUM/ MINIMUM, PUT ON THE MINIMUM.

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