Dec 4, 2025 · 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...

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 …

Sep 30, 2024 · 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."

OPTION meaning: 1. one thing that can be chosen from a set of possibilities, or the freedom to make a choice: 2…. Learn more.

An option is a contract that represents the right to buy or sell a financial product at an agreed-upon price for a specific period of time. You can typically buy and sell an options contract at any time before …

OPTION definition: the power or right of choosing. See examples of option used in a sentence.

Nov 19, 2025 · Buying an option is simply purchasing a contract that represents the right, but not the obligation, to buy or sell a security at a fixed price by a specified date.

What is an option? An option is a contract that gives the buyer the right (but not the obligation) to buy or sell an underlying asset at an agreed-upon price on or before an agreed-upon date.

(Commerce) an exclusive opportunity, usually for a limited period, to buy something at a future date: he has a six-month option on the Canadian rights to this book.

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