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Home > Corporate > Treasury > Forex > Currency Options

Treasury - Currency Options



A currency option is a contract where the purchaser of the option has the right but not the obligation to either purchase (call option) or sell (put option) the underlying specified currency and the seller (or writer) of the option agrees to sell (call option) or purchase (put option) an agreed amount of a specified currency at a price agreed in advance and denominated in another currency (known as the strike price), on a specified date.

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