# Barrier option

- Canonical URL: https://www.gerhardmerk.de/barrier-option
- Post ID: 593528
- Modified: 2023-07-25T20:58:28+00:00
- Language: en

## Definition

Special form of exotic option, each of which is equipped with a barrier. The option right is automatically triggered (knock-in option) or terminated (knock-out option) as soon as the barrier is reached (contracts with trigger points that, when crossed, automatically generate buying or selling). - Both call and put options can be structured in the form of a barrier option. Furthermore, the barrier can be above (up) or below (down) the strike price. - See Option. 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/

## Machine-readable

- Generator: Merk Knowledge 1.1.1
