A chart of the profits and losses for a particular options strategy prepared in advance of the execution of the strategy. The diagram is plot of expected profit or loss against the price of the underlying security.
Related information about payoff diagram:
- Payoff Diagram Spreadsheet Download
 This Microsoft Excel spreadsheet is intended to illustrate payoff and profit   diagrams for option contracts. The user can specify up to four positions (long or   short) ...
 
- Put Payoff Diagram | Finance | Khan Academy
 Put Payoff Diagram. ... We have company ABCD trading at $50 a share; Let's   draw a payoff diagram for a put option; with a $50 strike price trading at $10 ...
 
- Derivatives: Pay off Diagram
 A Payoff diagram is a graphical representation of the potential outcomes of a   strategy. Results may be depicted at any point in time, although the graph usually ...
 
- Payoff
 The payoff diagram when we sell a forward contract can be obtained by ... The   payoff diagram of a short stock position can be obtained by reversing the above ...
 
- What is payoff diagram? definition and meaning
 Definition of payoff diagram: A chart of the profits and losses for a particular   options strategy prepared in advance of the execution of the strategy. The   diagram is ...
 
- What is a Payoff Diagram?
 Payoff diagrams are simple graphs that make it possible to track the increases   and decreases in unit price of different stock options over a period of time.
 
- Payoff Charts
 payoff diagram for a long call option on microsoft shares. ... Draw a final payoff   diagram for a stock and a bond, where the bond promises to pay off $500.00 in ...
 
- Payoff diagram - Financial Dictionary - The Free Dictionary
 In option pricing, a graph of the value of the option position at expiration as a   function of the underlying asset price. Want to thank TFD for its existence?