Option price


Also called the option premium; the price the buyer of the options contract pays for the right to buy or sell a security at a specified price in the future.

Investing Essentials

Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Government obligations

U.S. government-backed debt instruments, which are considered among the safest investments possible, including Treasury bonds, bills, and notes, and savings bonds.

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