Definition of traded option in English:

traded option


  • An option on a stock exchange or futures exchange which can itself be bought and sold.

    • ‘If you use publicly traded options to lower the risk of owning stocks, don't assume that any dividend you collect will qualify for the lower 15% maximum tax rate on dividends.’
    • ‘I speak as a drug industry guy and as someone who's lost money in options trades - everyone who's ever traded options has watched some of their money evaporate at some point.’
    • ‘However, publicly traded options on gold bullion don't exist.’
    • ‘If an average investor traded options regularly, what are the tax implications?’
    • ‘In addition, you can use traded options and financial futures to ‘short’ equity markets if you think they will fall.’