option premium
Definition
Amount the option buyer pays and the option seller receives for granting the specified rights for the specified period under the option. Option price market price of an option contract depending on factors such as its intrinsic value, time remaining before its expiration, and fluctuations in the value of the underlying asset.
option premium is in the Commodities & Precious Metals Trading, Currency Trading, Disaster Planning & Risk Management, Investing and Securities & Futures Trading subjects.
option premium appears in the definition of the following term: time value
This content can be found on the following page:
http://www.businessdictionary.com/definition/option-premium.html
email to a friend
print this definition
cite this definition
link to this page
