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   Average Strike Rate Option (ASRO)
   















 

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Average Strike Rate Option (ASRO)

An option whose settlement value is based on the difference between the spot price or rate at expiration and an average strike price or rate determined over the life of the option. These options are often embedded in employee stock purchase plans and pension plans. Also called Floating Strike Option. See Average Price or Rate Option (APO, ARO) (diagrams), Floating Strike Asian Option.

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