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Finance Glossary

Just call us Bond. Amortized bond.

Over 700 finance terms, Shmooped to perfection.

Alligator Spread


There are two definitions here - one relates to the centerfold out glossy pages of PlayGator magazine. At Shmoop, we are fans of the new Go Green theme.

The other definition relates to a situation where broker commissions "eat up" any profits that would have been available to making a trade, usually in reference to a derivatives trade involving put options and call options. The commissions in this case were so high that the trade doesn't make sense to execute.