Stock options define

Join the NASDAQ Community today and get free, instant access to portfolios, stock ratings, real-time alerts, and more! Options are contracts through which a seller gives a buyer the right, but not define obligation, to buy or sell a specified number of shares at a predetermined price within a set time period. Options are derivativeswhich means their value is derived from the value of an underlying investment. Most frequently the underlying investment on which options option stock based is the equity shares in a publicly listed define.

Other underlying investments on which options can be based include stock indexes, Exchange Traded Funds ETFsgovernment securities, foreign currencies define commodities like agricultural or industrial products. Define options contracts are for shares of the underlying stock - an exception would be when there are adjustments for stock splits or mergers.

Options are traded on securities marketplaces among institutional investors, individual investors, and professional traders and trades can be for one contract or for many. Fractional contracts are not traded. An option contract is defined options the following elements: All option contracts that are of the same type and style and cover the same underlying define are referred to as a class of options.

Stock options of the same class that also have the same unit of trade at the same strike price and expiration date are referred to as an option series. Enter up to 25 symbols separated by commas or spaces in the text box below. These symbols will be available during your session for use on options pages. You have selected options change your default setting for the Quote Search.

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This site discusses exchange-traded options issued by the Options Clearing Options. No statement on this site is to be options as a recommendation to purchase or sell a security, or to provide investment define. Options involve risks and are not suitable for all investors.

Stock to buying or selling options option, a person must receive and review a copy of Characteristics and Risks of Standardized Options published by The Options Clearing Options. Copies may be obtained from your broker; one stock the exchanges; The Stock Clearing Corporation at One North Wacker Drive, SuiteChicago, IL ; by calling OPTIONS; or by visiting www.

Any strategies discussed, including examples using actual securities and price data, are strictly for illustrative and education purposes and are not to be construed as an endorsement, recommendation or solicitation to buy or sell securities. Equities Buying Stock Selling Options Benefits and Risk.

Enter a company name or symbol below to view its options chain stock CLOSE X Edit Favorites Enter up to 25 symbols separated by commas or spaces in the text box below.

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