An investor who purchases a put option:

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An investor who purchases a put option has the right to sell a given stock at a specified price during a designated time period. A put option is a contract that gives the holder the right, but not the obligation, to sell a specified amount of an underlying asset (such as a stock) at a specified price (strike price) within a specified period of time (expiration date). This allows the investor to protect against a potential decline in the stock's value or to profit from a decline by selling the stock at a higher price than the market value.

An Investor Who Purchases a Put Option