An exotic option is
A)Any option written on an unusual or rare underlying asset.
B)An option that is traded only by boutique organizations.
C)Any option that is not a plain vanilla put or call.
D)Any option with very complex payoff patterns.

Question

Quizplus · Accepted Answer

An exotic option is any option that is not a plain vanilla put or call. Exotic options have additional features that make them more complex than plain vanilla options, such as non-standard exercise styles, exotic underlying assets and more complex payout structures.

An Exotic Option Is