What does Box Spread mean?

Box Spread meaning in Finance Dictionary

A four-sided option spread that requires an extended call and a short place at one attack price also a quick call and a long put at another strike price. Instance: buying 1 XYZ might 60 telephone call, and writing 1 XYZ might 65 telephone call; simultaneously buying 1 XYZ might 65 put, and writing 1 May 60 place.

Box Spread meaning in Business Dictionary

An arbitrage strategy in which the profit in one place is locked in with an opposite place in another safety. Boxing-in are accomplished with any asset class, but is frequently utilized with derivatives.