The right to buy or sell stock exchange with a stipulated period is?
Answer Details
The right to buy or sell stock exchange with a stipulated period is called an option.
An option gives the buyer the right, but not the obligation, to buy or sell an underlying asset (such as a stock) at a predetermined price within a specific period of time.
The price at which the underlying asset can be bought or sold is called the strike price, and the specific period of time during which the option can be exercised is called the expiration date.
Options can be used for a variety of purposes, such as to speculate on the future price movements of an asset, to hedge against potential losses, or to generate income.
Contango and backwardation are terms used to describe the relationship between the current price of an asset and its price in the future, particularly in the context of commodities. Contango refers to a situation where the future price of an asset is higher than its current price, while backwardation refers to a situation where the future price is lower than the current price.
Brokerage refers to the commission or fee charged by a broker for executing a transaction, such as buying or selling an asset on behalf of a client.