The final day the option contract is valid. How Buying a Put Works (With Examples)
Imagine stock XYZ is trading at $100. You believe it will drop soon. what is buy put option
This right is valid only until the contract's . To acquire this right, the buyer pays an upfront fee called a premium . Key Terminology The final day the option contract is valid
The set price at which you can sell the stock, regardless of its current market value. what is buy put option
The stock stays at $100 or rises. You choose not to exercise the option, and your loss is capped at the $300 premium . The Break-Even Point