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Options: Types, Spreads, and Risk Metrics - Investopedia An option is a type of financial instrument that's tied to an underlying security Options give their buyers the right, but not the obligation, to purchase or sell the asset at a specified
OPTION Definition Meaning - Merriam-Webster choice, option, alternative, preference, selection, election mean the act or opportunity of choosing or the thing chosen choice suggests the opportunity or privilege of choosing freely option implies a power to choose that is specifically granted or guaranteed alternative implies a need to choose one and reject another possibility
Option (finance) - Wikipedia In finance, an option is a contract which conveys to its owner, the holder, the right, but not the obligation, to buy or sell a specific quantity of an underlying asset or instrument at a specified strike price on or before a specified date, depending on the style of the option
What are options, and how do they work? | Fidelity An option is a legal contract that gives you the right to buy or sell an asset (think: a stock or ETF) at a specific price by a specific time They are known in the financial world as "derivatives "
Understanding Options: Strategies, Types Risks | BlackRock Options may be used in a transparent and tax efficient manner to accomplish specific goals and reduce risk What are options? Options are contracts between two people who are willing to buy or sell an investment at a specific price in the future
Options | Definition, Types, Strategies, Factors, Pricing, Risks Options are financial contracts that provide the right, but not the obligation, to buy or sell an underlying asset at a predetermined price and time Options trading allows investors to profit from market fluctuations and manage risk in their investment portfolios
Complete Guide to Options | Option Alpha Learn about options basics, pricing, settlement, exercise, assignment, and more An options contract is an agreement between a buyer and a seller that gives the buyer the right, but not the obligation, to buy or sell a specific asset at a specific strike price on or before a specific expiration date