flattener
Collocations
2VERB + FLATTENER
put
PREP.
on
Definitions
noun
Anything that flattens.
A trade whose terms are based on the assumption that the rate of return will decrease.
Provided that the curve doesn't ever flatten too much and the option remains out-of-the-money, then we will put on flatteners when the curve steepens and put on steepeners when the curve flattens.
For example, if a trader thought that 2's 10's would trade lower than 185, he or she would put on a flattener.
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Example Bank
2Provided that the curve doesn't ever flatten too much and the option remains out-of-the-money, then we will put on flatteners when the curve steepens and put on steepeners when the curve flattens.
WiktionaryFor example, if a trader thought that 2's 10's would trade lower than 185, he or she would put on a flattener.
Wiktionary