• Backbencher Singer
03

3.Types of Options: Calls, Puts, American, and European Options

  • 3 May, 2023

Options are financial derivatives that give the holder the right, but not the obligation, to buy or sell an underlying asset at a predetermined price (strike price) on or before a specified date (expiration date). There are two types of options: calls and puts, and two styles of options: American and European.

Calls:

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