Definition
A legal agreement that gives one party the right, but not the obligation, to buy or sell an asset at a predetermined price within a specific time period. The option holder pays a premium for this right, while the option writer is obligated to honor the contract if exercised.
Etymology
From Latin 'optio' meaning 'choice' and 'contractus' meaning 'drawn together.' Options trading dates to ancient Greece, but modern option contracts developed in 17th-century Dutch tulip markets and were formalized in American securities law in the 20th century.
Kelly Says
Option contracts are like paying for the right to change your mind later—you can buy the right to purchase stock at today's price even if you wait six months to decide! It's essentially insurance for investment opportunities, letting you control large positions with small upfront costs.
Translations
AMአማርኛ
መብራት 合意
me-bra-t he-yi
ARالعربية
اتفاقية الخيار
i-tha-fa-qi-yah al-kha-ya-ar
BNবাংলা
অপশন চুক্তি
op-shon chu-kti
CACatalà
contract d'opció
kon-trakt deh op-see-ohn
CSČeština
opční smlouva
op-chni sm-lu-va
DADansk
optionskontrakt
op-shon-kon-trakt
DEDeutsch
Optionskontrakt
op-see-ohn-skohnt-rakt
ELΕλληνικά
συμβόλαιο επιλογής
sim-vo-lay-o e-pi-lo-h-eh-s
ESEspañol
contrato de opción
kon-trah-toh deh op-see-ohn
FAفارسی
قرارداد اختیار
qarar-dad ikhtiyar
FISuomi
optiopas
op-tee-o-pas
FRFrançais
contrat d'option
kon-trah duh op-see-ohn
GUGU
વિકલ્પ કરાર
vi-kalp ka-raar
HAHA
kwangon za'a
kwang-on za-a
HEעברית
חוזה אופציה
cho-zeh o-p-tsi-ya
HIहिन्दी
विकल्प अनुबंध
vi-kalp a-nu-bandh
HUMagyar
opció szerződés
op-chee-oh ser-zee-dehs
IDBahasa Indonesia
kontrak opsi
kon-trak op-see
IGIG
akwukwo mkpụrụ
ak-wuk-wo mk-pu-ru
ITItaliano
contratto opzion
kon-trah-toh oh-pee-ohn
JA日本語
オプション契約
op-shon keiyaku
KKKK
опшон келісім
op-shon ke-li-sim
KMKM
សារសញ្ញា
sa-ar-sa-nyah
KO한국어
옵션 계약
op-sseon gye-yak
MRMR
विकल्प करार
vi-kalp ka-raar
MSBahasa Melayu
perjanjian pilihan
per-ja-jaan pee-lian
MYမြန်မာ
လျှောက်လွှာ
l-ya-kwe-l-wa
NLNederlands
optiere contract
op-tee-reh kon-trakt
NONorsk
opsjonskontrakt
op-shjon-kon-trakt
PAPA
ਵਿਕલ્ਪ કરਾਰ
vi-kalp ka-raar
PLPolski
umowa opcji
oo-mo-wa op-chyi
PTPortuguês
contrato de opção
kon-trah-toh deh op-sye-ohn
RORomână
contract de opțiune
kon-trakt deh op-tsi-uhn
RUРусский
контракт на опцион
kontrakt na op-tsi-on
SVSvenska
optionsavtal
op-shon-sa-v-tal
SWKiswahili
mkataba wa chaguo
m-ka-ta-ba wa cha-guo
TAதமிழ்
ஒப்பந்தம்
opp-pan-tham
TEతెలుగు
옵షన్ ఒప్పందం
op-shon opp-pan-dam
THไทย
สัญญาซื้อขายทางเลือก
san-ya-soi-kai-tang-lek
TLTL
kasunduan ng pagpipilian
ka-sun-doo-an ng pa-g-pi-pi-li-an
TRTürkçe
opsiyon sözleşmesi
op-see-ohn soh-le-sheh-meh-si
UKУкраїнська
контракт на опціон
kon-trakt na op-tsi-on
URاردو
اپشن معاہدہ
ap-shun mu-ah-dah
VITiếng Việt
hợp đồng quyền chọn
hop-dong quyen chon
ZUZU
ikhwento leli
ee-khwen-toh leh-lee