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Option Premium

Option Premium		The price of an option; the amount of money that the option holder pays for the rights and the option writer receives for the obligations granted by the option.

Related Terms
		Options An option is a type of derivative - its value is derived from an underlying asset, such as a stock. The ... Covered Put A put option position in which the option buyer is also short the corresponding stock or has deposited cash or cash ... Assignment Refers to the option writer's (seller's) obligation to sell or buy a stock or other financial instrument at the strike price ...

 

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