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Ludmilka [50]
4 years ago
6

What is the option to sell shares of stock at a specified time in the future called? a stock exchange a call option a future a p

ut option
Business
2 answers:
zlopas [31]4 years ago
6 0

Answer:

A put option

Explanation:

...

MrRa [10]4 years ago
3 0

Answer:

A put option

Explanation:

  • An option is a finantial instrument that allows you to chose wether you buy (a call option) or sell (a put option) an specific good or intrument in a specific time in the future, at a specific price.
  • When talking about an option, you<u> can choose</u>  if you are going to exercise your right to buy (if it is a call option) or sell (if it is a put option).
  • This is a difference between a future and an option: a future is a compromise to buy or sell an specific commodity or finantial instrument, while the option makes it optional (to buy or sell).
  • A stock exchange is a simple exchange of stocks, but without a compromise to do it at a specific time in the future or prices. There is no option or obligation to buy or sell in a common stock change  case.
  • In this case, we are talking about a put option (an option to sell), and the finantial instrument that is linked to the option are shares of stocks.
  • Then,  in a specified time in the future you will be able to sell shares of stock using a put option.
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