
Options: Types, Spreads, and Risk Metrics - Investopedia
Dec 4, 2025 · Options are a type of financial instrument that grant their buyers the right, but not the obligation, to buy or sell an underlying asset at a specified strike price.
What are options, and how do they work? | Fidelity
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 (finance) - Wikipedia
An option is a contract that allows the holder the right to buy or sell an underlying asset or financial instrument at a specified strike price on or before a specified date, depending on the form of the …
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 …
What Is Options Trading? A Beginner's Overview - Investopedia
Dec 10, 2025 · A call option gives the holder the right to buy a stock, and a put option gives the holder the right to sell a stock. Think of a call option as a down payment on a future purchase.
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OPTION Definition & Meaning | Dictionary.com
OPTION definition: the power or right of choosing. See examples of option used in a sentence.
Introduction to Options | Charles Schwab
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 …
Understanding Options: Strategies, Types & Risks | BlackRock
Options are derivatives, meaning they “derive” their price from that of another security. While many investors may consider them complex, options can help improve risk-adjusted outcomes when used …
Options | Definition, Types, Strategies, Factors, Pricing, & Risks
Sep 15, 2025 · 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 …