A chooser option gives the holder the right,on the choice date,
A)To choose the strike price of the option.
B)To choose the maturity date of the option.
C)To choose whether the option is to be a call or a put.
D)To choose whether to buy the option or take a premium refund.

Question

Quizplus · Accepted Answer

A chooser option grants the holder the flexibility to decide, at a specific point in time (the choice date), whether the option will be a call option (the right to buy) or a put option (the right to sell). This choice is made based on the holder's market outlook at that time.

A Chooser Option Gives the Holder the Right,on the Choice