put option


(finance) a tradable financial instrument that consists of a commitment to buy a fixed amount of x at a fixed price (known as a “strike price”). put options are the opposite of a call option, in which ones to sell a fixed amount of x at strike.

put options are useful to traders interested in covering risk. they guarantee a minimum price at which one can expect to sell one’s holdings of x.

when the strike price of a put is less than the spot price, then it is “out of the money” and has no intrinsic value.
buying put options is a way of shorting a stock; but it can also be used as a hedge against unpleasant surprises.

Read Also:

  • putza

    is the same as ‘pula’ but in smaller proportions shi umbli bai cu putza belita

  • pwey pwey

    ( pr-nounced: pway pway) n. moss found growing on cement that burns very well. able to start fires with it, but not cooking fires. “we burned the pwey pwey” “we’re cold. lets burn some pwey pwey” “in sacrifice to the gods, let us burn pwey pwey!”

  • pwnialation

    a cross between the words “pwn” and “annialation”. pwnialation is the act of being extremely owned. you should tell those noobs to get ready for some pwnialation.

  • Pyom

    pyom is an onomatopoeia word. it is the sound that it sounds like when read. pyom, in this case is generally the sound of someone or something moving around or past an observer at a high velocity. it is the sound of anything coming towards you and instantly afterwards, moving away from you at an […]

  • Pyro-Orgy

    when your bored with your friends and you have nothing better to do than build a few homemade explosives. ethan went insane last weekend after we gave him our bug-spray flame thrower during our pyro-orgy. my dad found out about the pyro-orgy i had with my buddies the other day. it probably wasn’t smart to […]


Disclaimer: put option definition / meaning should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional. All content on this website is for informational purposes only.