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What are call and put options

Options are instruments that derive its value from an underlying stock or index. Options are of two types - calls and puts. From a buyer’s perspective, a call option gives a trader the right but not the obligation to buy an underlying stock from the seller at a predetermined price on a particular date, while a put option gives the trader the right to sell an underlying stock at a preset price, on a particular date to the seller. In both cases, the seller is obliged to sell or buy the underlying stock from the call or put buyer. 

Original Clues by NC News date : 4 Feb 2019, Monday

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