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

    Dec 30, 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...

  2. 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 …

  3. 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 …

  4. 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."

  5. What are options? The complete guide to options trading

    Nov 3, 2025 · Options are contracts that give investors the option to buy or sell a security at a specific price. Learn everything you need to know about options on eToro.

  6. What is an Option? - optionseducation.org

    An option is a contract to buy or sell a specific financial product known as the option's underlying instrument or underlying interest.

  7. Options strategy - Wikipedia

    Options strategy Option strategies are the simultaneous, and often mixed, buying or selling of one or more options that differ in one or more of the options' variables. Call options, simply known as Calls, …

  8. What Is Options Trading? A Beginner's Overview - Investopedia

    Dec 30, 2025 · An option is a contract giving the buyer the right—but not the obligation—to buy (in the case of a call) or sell (in the case of a put) the underlying asset at a specific price on or before a...

  9. Options Exercise, Assignment, and More: A Guide - Charles Schwab

    Aug 21, 2025 · This beginner's guide can help new option traders navigate the dynamics of options expiration—especially how exercise and assignment work—before initiating a trade.

  10. Options Contracts Explained: Types, How They Work, and Benefits

    Aug 24, 2025 · There are two primary types of options: call options, allowing for asset purchase, and put options, allowing for asset sale. Options can be used for hedging against potential losses,...