Question
An option that can be exercised only at expiration is
called ____Solution
An option is a derivative which gives the owner the right but not the obligation to sell/buy a specified quantity of the underlying asset at a particular price on or before a specified time. When the option can be exercised only at the expiration, it is referred to as a European option. The options that can be exercised at any time up to the expiration date are called American Options.
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