what is an fx extendible collar

kongwenb · June 28th, 2011, 8:23 pm

An extendible option means that you can exercise the option once in some predefined dates and must exercise once. Then what is an extendible collar? any good example?

GammaBleeder · July 15th, 2011, 1:27 pm

Collar = cylinder = risk reversal = buy and sell OTM put and call.extendible collar = client sells the right to be extended into a r/r to finance an ITM upfront collar.typical corporate hedging structure