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  1. 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 …

  2. Options: Types, Spreads, and Risk Metrics - Investopedia

    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...

  3. 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."

  4. OPTION | English meaning - Cambridge Dictionary

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

  5. OPTION Definition & Meaning | Dictionary.com

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

  6. 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 …

  7. What Is Options Trading? A Complete Guide to Options - Merrill Edge

    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.

  8. 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 …

  9. Options Basics

    Options are financial instruments that provide flexibility in almost any investment situation.

  10. Options - The Balance

    A call option, or the right to buy an asset at a set price, is in the money if the current price of the asset is higher than that agreed-on price. A put option, or the right to sell an asset at a set price, is in the …