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Options contract

• A contract that, in exchange for the option price, gives the option buyer the right, but not the obligation, to buy (or sell) a financial asset at the exercise price from (or to) the option seller within a specified time period, or on a specified date (expiration date).

 
 

Follow this link for all the terms related to option.

 
 Embedded terms in definition
 Asset
Contract
Exchange
Exercise price
Exercise
Expiration date
Option price
Option seller
Option
Right
Time
 
 Related Terms
 

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