OAS vs Option risk

I am so confused, is it the OAS = Option risk or OAS = credit risk + liquidity risk?

Please comment

hey pass,

OAS = credit risk + liquidity risk

z-spread = credit risk + liquidity risk + option risk

the term option adjusted spread is confusing. A more clear way to refer to this spread should be “spread before option risk”

option adjusted spread is equivalent to the spread of an identical bond without any embedded options