A certificate which guarantees that the securities underlying an option contract...
A document provided by a bank in options trading to guarantee that the underlying security is on deposit and available for potential delivery.
A document providing evidence of the existence of collateral. An escrow receipt may be used to protect a securities firm carrying a customer's short option position. The escrow receipt certifies that collateral adequate to protect the broker and the clearing corporation has been deposited with the bank or trust company issuing the escrow receipt.
A certificate issued by a bank guaranteeing that the options writer has the option's underlying securities on deposit at the bank and that they will be delivered to the broker if the option is exercised. See: Bank Guarantee Letter; Escrow
The certificate provided by an approved bank which guarantees that the underlying securities of an option contract are on deposit at the bank and will be delivered if the option is exercised.
A receipt issued by a bank in order to verify that a customer (who has written a call) in fact owns the stock and therefore the call is considered covered.