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English definition of “put option”

put option

noun [C]
 
 
(also put) FINANCE, STOCK MARKET
an arrangement that allows the sale of shares, etc. at an agreed price until or on a particular date: They want to purchase put options in order to protect against a decline in the market value of the underlying security. → Compare stock option
(Definition of put option from the Cambridge Business English Dictionary © Cambridge University Press)
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