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English definition of “Asian option”

Asian option

noun [C]
 
 
STOCK MARKET, FINANCE an option (= the right to buy or sell shares, etc.) whose price is calculated on its average price over a particular period of time rather than on the day it is sold: An Asian option can protect an investor from the volatility risk that comes with the market. → Compare American option, European option
(Definition of Asian option from the Cambridge Business English Dictionary © Cambridge University Press)
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