Put option

Put option
Definition
: an option to sell for a fixed price at or within a specified time
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In practice, most call and put options are rarely exercised. Instead, investors buy and sell options before expiration, trading on the rise and fall of premium prices.

Call Option An option to buy a particular commodity or security at a fixed price for a certain amount of time. Sometimes simply called a "call." Compare: put option
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See also: Option, Security, State, Call option, Service