One of the mysteries of the English language finally explained.
An option to sell assets at an agreed price on or before a particular date.
- ‘On one day alone last week, more than 12,600 put options for July, priced at 200p, changed hands.’
- ‘I can buy a put option with a strike price of £6.00 allowing me to sell 100 shares in three months time.’
- ‘But maximum losses are limited here because we have a long put option (with a strike price of 50).’
- ‘The deal included a put option to sell the rest of Fiat Auto to GM between 2004 and 2009.’
- ‘A collar is the equivalent of buying a call option and selling a put option.’
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