Multiple choice

'Put option' is available for a

  1. buyer

  2. seller

  3. buyer or seller

  4. regulated authority of bank
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A put option gives the holder the right to sell an asset at a specified price. Therefore, it is a tool used by those who wish to hedge against or speculate on a price decline, typically associated with the seller's position in the underlying asset.

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