Long-Term Equity Anticipation Securities Definition
Long-Term Equity Anticipation Securities – LEAPS are publicly traded long-term stock options or index options, with expiration dates up to three years away. They may be safer than traditional option contracts because it may be easier to predict stock movement over longer periods. The long term gives the underlying asset more time to make a substantial move and for the investor to make a profit. The long-term price movement can be used without the need to invest large amount of capital