What is options settlement and how does it work?
Options settlement is the process of satisfying the terms of an options contract when the contract is exercised. The rights and obligations of the two parties are fulfilled through the contract settlement.
Can a brokerage firm charge for options settlement?
Brokerage firms may charge additional fees if an options contract is not closed prior to expiration and is automatically exercised or assigned. Physical settlement of options contracts is the most common form of settlement and involves the physical or actual delivery of the underlying security at settlement.
What is a sub optimal system?
(October 24-28, 2022). “A Sub Optimal system is a system where the optimization of the system or the elimination of waste has been undertaken based upon the value stream of part of the system. These efforts may actually cause the entire system to be less efficient”
What are sub-optimal placement errors and how do they occur?
Sub-optimal placement errors occur when a design's I/O or clocking connectivity or constraints violate placement rules that provide the best performance in a design.
What is BATNA example?
Example of BATNA If we assume that Tom can sell his car to someone else for $8,000, then $8,000 is Tom's BATNA. In such a scenario, an agreement will not be made, as Tom is only willing to sell for a minimum of $8,000, while Colin is only willing to purchase at a maximum of $7,500.
What BATNA means?
best alternative to a negotiated agreementThe best alternative to a negotiated agreement (BATNA) is the course of action that a party engaged in negotiations will take if talks fail, and no agreement can be reached.
What is the difference between BATNA and reservation price?
BATNA stands for “best alternative to a negotiated agreement” and, unlike reservation price, it expresses a scenario rather than a number.
Are BATNAs more important in distributive bargaining or integrative processes?
BATNAs are very important in both distributive and integrative processes because they define whether the terms of negotiation are better than another possibility outside of the present negotiation.
Why is BATNA important in negotiation?
Features of BATNA Aid in Determining the Importance of Negotiation: It helps determine the best alternative in an unsuccessful negotiation deal. If no alternative is available or the cost of the alternative is more than the current cost of the deal. Then it helps in determining the importance of the negotiation deal.
What is a strong BATNA?
BATNA is the "Best Alternative To a Negotiated Agreement". It really means what you will do if you did not come to an agreement in your negotiation. Since we recognise that we might have to walk away from a negotiation, we must understand what we would be walking towards! And that will be your BATNA.
How do you determine BATNA?
If you are offered a used car for $7,500, but there's an even better one at another dealer for $6,500--the $6,500 car is your BATNA. Another term for the same thing is your "walk away point." If the seller doesn't drop her price below $6,500, you will WALK AWAY and buy the other car.
What is BATNA salary negotiation?
BATNA, developed by Harvard University negotiation experts Roger Fisher and William Ury, stands for Best Alternative to a Negotiated Agreement. It is an exercise that helps you determine what you're aiming for in a given scenario and how to leverage the next-best thing (in case your number-one wish doesn't work out).
Which of the following is a characteristic of BATNA?
Which of the following is a characteristic of BATNA? A BATNA is not something that a negotiator wishes for; rather, it is determined by objective reality.
Which of the following is a common mistake in negotiations?
1. We Fail to Thoroughly Prepare to Negotiate. The top negotiation mistake business negotiators make is to rush into a negotiation without thoroughly preparing. You may think you've prepared thoroughly if you have strong opinions about what you want to get out of the deal, but that's far from sufficient.
What are the two dilemmas of negotiation?
All negotiators face two basic questions: “How can we make the pie bigger?” and “How can I make sure that I get the biggest possible piece?” The pie is enlarged (value is created) through the cooperative process of interest-based bargaining.
How do you negotiate with no leverage?
Yes You Can Negotiate Without LeverageDon't Reveal that You Are Weak. ... Overcome Your Weakness by Leveraging Their Weakness. ... Identify and Leverage Your Distinct Value Proposition. ... If Your Position is Very Weak, Consider Relinquishing Your Power. ... Strategize on the Basis of Your Entire Negotiation Portfolio.More items...•
How do you determine BATNA?
If you are offered a used car for $7,500, but there's an even better one at another dealer for $6,500--the $6,500 car is your BATNA. Another term for the same thing is your "walk away point." If the seller doesn't drop her price below $6,500, you will WALK AWAY and buy the other car.
What do BATNA and Zopa stand for?
what is negotiation ZOPA BATNA. The terms are BATNA and ZOPA. BATNA stands for Best Alternative To Negotiated Agreement. Your BATNA is what you'll do if you don't reach a deal. The ZOPA is the set of all deals that are at least as good for each party in a negotiation as their respective BATNAs.
What are the 5 stages of negotiation?
Negotiation consists of five phases that include investigation, determining your BATNA, presentation, bargaining, and closure.
What is BATNA salary negotiation?
BATNA, developed by Harvard University negotiation experts Roger Fisher and William Ury, stands for Best Alternative to a Negotiated Agreement. It is an exercise that helps you determine what you're aiming for in a given scenario and how to leverage the next-best thing (in case your number-one wish doesn't work out).
Project Value Stream
Agile has rightly focused on the Project Value Stream and I don’t believe anyone would argue that the Project Value Stream is maximized when executing the project in an Agile manner. But by optimizing ONLY the Project Value Stream, have we sacrificed other Value Streams?
Program Value Stream
If I follow Agile by the consensus of opinions I hear proposed most frequently, the following two types of project information are lacking:
Company Value Stream
Perhaps one of the most troubling trends lately is the statement that estimates should not be created anymore as they are bound to be wrong and a waste of time.
Three ways to ensure your Agile Project is not Sub-Optimal
Estimate your project – Make sure you estimate your project and ensure that estimate is incorporated into the Business Case to validate the project raison d’etre. These estimates must be given the care and attention they deserve and not just estimates for the sake of getting the project approved.
Summary
"Are we sacrificing long-term Enterprise objectives by developing projects in an Agile way?" I don't believe that anyone argues that Agile is not the best way to execute a project.
About the Author
Terry Bunio is currently a Principal Consultant at Protegra. Terry never wanted to be a Project Manager. His main career has been in Data Architecture. Along the way Terry discovered that he enjoys helping to build teams, grow client trust, encourage individual growth, doing project work, and helping to guide solutions.
What is the difference between total settlement and differential settlement?
Total settlement is the magnitude of downward movement. Differential settlement is non-uniform settlement. It is "the difference of settlement between various locations of the structure. Angular distortion between two points under a structure is equal, to the differential settlement between the points divided by the distance between them.
How much settlement is acceptable for a road embankment?
A fixed-end arch would suffer greatly if the abutments settle or rotate. For road embankments, storage silos and tanks a settlement of 300mm - 600mm may be acceptable, but for machine foundations the settlement may be limited to 5mm 30mm. Different types of construction materials can withstand different degrees of distortion. For example, sheet metal wall panels do not show distress as readily as brick masonry.
Why is the leaning tower of Pisa undergoing consolidation settlement?
The lean is caused by consolidation settlement being greater on one side. This, however, is an extreme case. The principal settlements for most projects occur in 3 to 10 years.
What is secondary consolidation?
Secondary consolidation may be the larger component if settlement in some soils, particularly in soils with a large organic component. Secondary consolidation is associated with both immediate & consolidation type settlements, although it is usually not of much significance with immediate settlements.
What is the value of m in a settlement?
m = number of corners contributing to settlement ΔHi. At the footing center m= 4; and at a corner m = 1, at a side m = 2.
What is the final settlement of a foundation?
Generally, the final settlement of a foundation is of interest and U is considered equal to 1 (i.e. 100% consolidation) 1. Immediate Settlement. Immediate settlement takes place as the load is applied or within a time period of about 7 days. Predominates in cohesion less soils and unsaturated clay.
Does a settlement do damage?
Theoretically, no damage will be done to a structure if it settles uniformly as a whole regardless of how large the settlement may be. The only damage would be to the connections of the underground utility lines. However, when the settlement is non-uniform (differential), as is always the case, damage may be caused to the structure.
What are the two types of options settlement?
First of all, there are two types of Options settlement – American style and European style. And there are two baskets of securities when it comes to settlement procedures – 1) Equities and ETFs and 2) Major Indices like the SPX, NDX and the RUT. The American style applies to all equities and ETFs, and the European style applies to cash settled ...
What happens if you buy an option and it is ITM?
And if you’re an Option buyer and your Option is ITM, then you will be automatically exercised, unless you have informed your broker specifically that you don’t intend to exercise. This applies even if the Option is ITM by 1 cent. This type of settlement is done by “exchange of securities”.
Is the SPX a European option?
In the US markets, only Options on the major indices like the SPX, NDX and the RUT are European style. And these Options are also “cash-settled” – meaning the settlement process only involves transacting in cash between the buyers and sellers. There are no underlying securities that exchange hands. In fact, these indices are not tradable securities.
What is a settlement?
A settlement is a place where people live. It can range in size from an isolated dwelling to a million city. The site of a settlement is the location where it is built. It describes the physical nature of where a settlement is located. Factors such as water supply, defence, quality of soil, building materials, climate, ...
What factors were taken into account when establishing settlements in the past?
Factors such as water supply, defence, quality of soil, building materials, climate, shelter and defence were all taken into consideration when establishing settlements in the past. The situation of a settlement is the description of the settlement in relation to physical features around it and other settlements.
Options Expiration
- Options expirationis the last trading day for exercise and assignment. The expiration date and time is standardized based on the terms of the options contract. Options contracts that expire in-the-money are typically exercised automatically by the brokerage firm that holds the account. For equity options, an in-the-moneycall option is typically converted to long shares of stock, and in-t…
Physical Settlement
- Physical settlement of options contracts is the most common form of settlement and involves the physical or actual delivery of the underlying security at settlement. Physical settlement of a long equity call option, for example, would be the purchase of 100 shares of the underlying security at the contract’s strike price. Physical settlement of a long equity put option would require selling 1…
Cash Settlement
- Cash settlement occurs when cash exchanges hands at settlement instead of an underlying security or physical commodity. Cash settlement is primarily used with index options because an index is not deliverable. When the options contract holder exercises an index option (buyer), the difference between the options contract strike price and the underly...
Settlement timelines
- Settlement timelines vary based on the type of options contract. For example, equity options are P.M. settled while VIX index options and some SPX index options are A.M. settled. Buyers of options contracts may exercise their option any time prior to the expiration time on the expiration date for American-style contracts or on the expiration date for European-style contracts. Brokera…
Soil Settlement and Soil Shear
- A soil shear failure can result in excessive building distortion and even collapse. Excessive settlements can result in structural damage to a building frame nuisances such as sticking doors and windows, cracks in tile and plaster, and excessive wear or equipment failure from misalignment resulting from foundation settlements. It is necessary to in...
Components of Settlement
- The components of settlement of a foundation are: 1. Immediate settlement 2. Consolidation Settlement, and 3. Secondary compression (creep) ΔH = ΔHi + U ΔHc + ΔHs ΔH = total settlement, ΔHc = consolidation settlement, ΔH = secondary compression, U = average degree of consolidation. Generally, the final settlement of a foundation is of interest and U is considered eq…
Immediate Settlement Calculations
- Where q0 = intensity of contact pressure in units of Es (Undrained Modulus of Elasticity) B’ = least lateral dimension of contributing base area in units of ΔHi Es, μ = Elastic Soil Parameters. A major problem is of course to obtain correct stress-strain modulus Es. Es can be found from laboratory tests like unconfined compression tests, Triaxial compression tests, and in-situ tests like SPT, C…
Consolidation Settlement Calculations
- After primary consolidation the soil structure continues to adjust to the load for some additional time. This settlement is termed secondary consolidation/secondary compression. At the end of secondary consolidation the soil has reached a new Ko-state (at-rest state). Secondary consolidation may be the larger component if settlement in some soils, particularly in soils with …
Settlement Limits
- Total settlement is the magnitude of downward movement. Differential settlement is non-uniform settlement. It is "the difference of settlement between various locations of the structure. Angular distortion between two points under a structure is equal, to the differential settlement between the points divided by the distance between them. Theoretically, no damage will be done to a structur…