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Options differ from futures in that the owner of an option need not exercise it by purchasing the underlying contract, while the owner of a future is obligated to make the purchase.
Options differ from futures in that the owner of an option need not exercise it by purchasing the underlying contract, while the owner of a future is obligated to make the purchase.
There are two kinds of options: '''calls''' and '''puts'''. A call is the right to buy an underlying instrument, and a put is the right to sell it.
[[category:finance]]
[[category:finance]]