Put option

by Richard C. Wilson on November 21, 2011

Below please find a definition of “Put option”

Financial Analysis Training & Glossary TermsDefined Term – Put option: Put option is a type of option contract which makes it possible for the owner of the option the right to sell a specified amount of underlying financial instrument (typically a stock or commodity) at a specified price within a specific time. However it is to be noted that the contract does provide the owner the right to sell the underlying securities, but the owner does not have the obligation to sell them.

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