Option

In finance, the term “option” refers to a derivative which gives its holder the right to purchase or sell its underlying assets on or after a predetermined maturity date.

The holder of an option is under no obligation to buy or sell its underlying assets when the option matures, but they have the right to do so if they choose to.

More on this topic:
Online trading comparison

About moneyland.ch

moneyland.ch is Switzerland’s independent online comparison service covering banking, insurance and telecom. More than 80 unbiased comparison tools and calculators are available on moneyland.ch, along with useful financial guides and timely news. The comprehensive comparison tools help you to find the right insurance policies, bank accounts, credit and prepaid cards, loans, mortgages, trading accounts and telecom products for your needs.