A currency put option is a contract specifying a standard volume of a particular currency to be exchanged on a specific settlement date.

Question

Quizplus · Accepted Answer

A currency put option gives the holder the right, but not the obligation, to sell a specified amount of a currency at a predetermined price to the option seller, on or before a specified date. It does not specify an exchange on a specific settlement date but rather provides the option to do so.

A Currency Put Option Is a Contract Specifying a Standard