Primary navigation:

QFINANCE Quick Links
QFINANCE Reference
Add the QFINANCE search widget to your website

Home > QFINANCE Dictionary > Definition of put option

Definition of

put option

Stockholding & Investments

option to sell stock at specified time an option to sell stock within an agreed time at a specific price.

Related definitions of "put option"

  • Also called put
Recommended Further Reading (Term count)
  • Understanding the True Cost of Issuing Convertible Debt and Other Equity-Linked Financing
    by Roger Lister
    Convertible securities (CSs) and other equity-linked instruments combine debt and equity. Depending on the terms and the issuer’s future performance, CSs can range from almost pure equity to an option-free bond. In option terms, a CS can be viewed in two ways. It amounts to a straight bond with a call option on a specified number of shares. It is also effectively a share with a put option whose exercise price is the market value of the...
  • Booms, Busts, and How to Navigate Troubled Waters
    by Joachim Klement
    For many, the tech bubble of the late 1990s is probably the most prominent example of a stock market boom and bust. Figure 1 shows the exuberance in the Nasdaq Composite stock market index, which includes a significant proportion of technology and telecommunications stocks, compared to the S&P500 Index of the 500 large-cap stocks from traditional sectors like industrials, transportation, utilities, and financials. As the internet and information...
  • Swaps, Options, and Futures: What They Are and Their Function
    This checklist describes certain types of derivatives that can be traded on stock exchanges and how they function.
  • Accounting for Value: Why the Accountancy Bodies Are Losing Their Way in the Standard-Setting Process
    by Stephen Penman
    I approach accountancy by asking what it measures that is of use to an investor. Basically, I am looking for accountancy to be a set of tools for measuring value—the real value of a business. My book was first and foremost a book on valuation, aimed at investors and those to whom they entrust their savings. This last group includes investment advisors, analysts, and portfolio managers. Beyond them, of course, I hope that it will also be useful...

Definitions of ’put option’ and meaning of ’put option’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’put option’ and other financial terms with our online QFINANCE Financial Dictionary.

Back to top