What does option (finance) mean?

Definitions for option (finance)
op·tion (fi·nance)

This dictionary definitions page includes all the possible meanings, example usage and translations of the word option (finance).

Wikipedia

  1. Option (finance)

    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. Options are typically acquired by purchase, as a form of compensation, or as part of a complex financial transaction. Thus, they are also a form of asset and have a valuation that may depend on a complex relationship between underlying asset price, time until expiration, market volatility, the risk-free rate of interest, and the strike price of the option. Options may be traded between private parties in over-the-counter (OTC) transactions, or they may be exchange-traded in live, public markets in the form of standardized contracts.

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Numerology

  1. Chaldean Numerology

    The numerical value of option (finance) in Chaldean Numerology is: 6

  2. Pythagorean Numerology

    The numerical value of option (finance) in Pythagorean Numerology is: 6

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"option (finance)." Definitions.net. STANDS4 LLC, 2024. Web. 27 Apr. 2024. <https://www.definitions.net/definition/option+%28finance%29>.

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