An option that can be exercised only at maturity is known as a(n)________.

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An option that can only be exercised at maturity is known as a European option. A European option can be exercised only on the expiration date, whereas an American option can be exercised at any time prior to expiration. A currency warrant is a security similar to an option, but it gives the holder the right to buy or sell a specific currency at a predetermined price on or before a specific date. A call option is a financial contract that gives the holder the right, but not the obligation, to buy an underlying asset at a specified price (strike price) within a specified period of time.

An Option That Can Be Exercised Only at Maturity Is