FT MarketWatch

Synthetic stock

The artificial creation of an Asset using combinations of other assets. For example, a long Call option and a Short put Option (which amounts to a synthetic Long stock), or a Long put Option and a short Call option (a synthetic Short stock).

Related Terms: 9 Asset, Call, Call option, Combination, Long, Option, Put, Put option, Short
Other Related Pages: Category: Options Starting With: S
Additional Related Terms: 10-K, 19c3 stock, Active asset, Allowance for depreciation, Alternative assets, Asset, Asset/equity ratio, Available assets, Asset management account, Accrual of discount