# Knock-out put (also referred to in German)

- Canonical URL: https://www.gerhardmerk.de/knock-out-put-also-referred-to-in-german
- Post ID: 589948
- Modified: 2023-07-25T21:02:28+00:00
- Language: en

## Definition

Financial product - whose price is in a straight line relationship to the respective underlying, - has leverage on this underlying, and - for which a strike price (base price) fixed above the current price of the underlying is agreed. - Buyers of knock-out puts thus pay, converted to the subscription ratio, only that part of the respective underlying that is below this basis. The term of knock-out puts ends prematurely as soon as the price of the respective underlying touches or exceeds the strike price or a contractually agreed knock-out threshold (barrier) of the put below it. - See discount, barrier option, basis risk, knock-out value, option, path-dependent. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

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