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Option

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Option

Definition

A contract that gives the buyer the right, but not the obligation, to buy or sell a specified quantity of a commodity or other instrument at a specific price within a specified period of time, regardless of the market price of that instrument.

Also see Put and Call.

Related Terms

Other terms related to 'Option' starting with the letter 'O'

Oversold, Option Writer, One to Many, Open Trade Equity, Option Pricing Model

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Table of Contents

Trading commodity futures and options

Who trades in commodity futures and options and why?

Can futures and option trading meet my investment goals?

What to watch out for in Commodities Trading

What are commodity futures and option contracts?

How do I go about trading futures or option contracts?

What are my contractual obligations?

What is the role of the CFTC in protecting investors?

Commodity Futures Trading risk disclosure document

How does risk affect my futures and options returns?

Strategies for reducing commodity futures and options risk

Risk factor: Options vs. Futures

More...

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