Basics of Options
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OPTIONS DEFINITION :Options are the derivatives instruments which gives the buyer the right, but not the obligation, to buy or sell an underlying asset at a specific price on or before a certain date.
TYPES OF OPTIONS :
1. CALL OPTION – Option, which gives buyer a right to buy the underlying asset for a set price, at certain future date is called Call Option. Call option generates money when value of the underlying asset is rising upwards . 2. PUT OPTION – Option, which gives buyer a right to sell the underlying asset for a set price, at certain future date is called Put Option. Put option will extract money when value of underlying is falling.
Very super knowledge Thanks
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