Definition from Wiktionary, the free dictionary
- (derivative securities) The degree to which a derivative security is in the money, because of the relationship of the price of the underlying security to a conversion price or exercise price.
- As an option's expiration date approaches only its moneyness has value.
- (economics, banking) The degree to which an asset approximates cash in its ready liquidity and the low transactions costs in realizing that liquidity.
- In good times everything seems to have moneyness; in bad times, some money doesn't have much moneyness.
- 2004, Peter Joseph Drake, Currency, Credit and Commerce: Early Growth in Southeast Asia, page 98
- It is this undiscriminating acceptability which confers 'moneyness' on some things, regardless of the fact that others may also serve such subsidiary money functions as being a store of value or unit of account.