different between option vs optionality

English

Etymology

From French option, from Latin opti? (“choice; option; act of choosing”), from opt? (“I choose, select”). Equivalent to opt +? -ion.

Pronunciation

• (Received Pronunciation) IPA^(key): /??p??n/
• (General American) IPA^(key): /??p??n/

Noun

option (plural options)

1. One of a set of choices that can be made. [from the 19th c.]
2. The freedom or right to choose.
3. (finance, law) A contract giving the holder the right to buy or sell an asset at a set strike price; can apply to financial market transactions, or to ordinary transactions for tangible assets such as a residence or automobile. [from the mid-18th c.]

Synonyms

• alternative
• choice
• possibility
• See also Thesaurus:option

Hypernyms

• (finance) (A contract giving the holder the right to buy or sell an asset): derivative

Hyponyms

• (finance) (A contract giving the holder the right to buy or sell an asset): American option, Bermudan option, European option, call option or call, put option or put, warrant

Derived terms

• optionable
• optional
• option button
• stock option

Related terms

• opt
• optimal
• optimise, optimize
• optimism
• optimist
• optimistic

Translations

Verb

option (third-person singular simple present options, present participle optioning, simple past and past participle optioned)

1. To purchase an option on something. [from the 20th c]

   The new novel was optioned by the film studio, but they'll probably never decide to make a movie from it.

2. (computing, dated) To configure, by setting an option.
   • 1991, Martin D. Seyer, RS-232 made easy

     The device that is to echo the characters should be optioned for echoplexing.

Further reading

• option in Webster’s Revised Unabridged Dictionary, G. & C. Merriam, 1913.
• option in The Century Dictionary, New York, N.Y.: The Century Co., 1911.

Anagrams

• potion

Finnish

Noun

option

1. Genitive singular form of optio.

Anagrams

• opinto, opinto-

French

Etymology

From Latin opti? (“choice; option; act of choosing”), from opt? (“I choose, select”).

Pronunciation

Noun

option f (plural options)

1. option

Further reading

• “option” in Trésor de la langue française informatisé (The Digitized Treasury of the French Language).

English

Etymology

optional +? -ity

Noun

optionality (countable and uncountable, plural optionalities)

1. (finance, business) The value of additional optional investment opportunities available only after having made an initial investment.

   The short-term payoff for this is modest, but the optionality value is enormous.

2. Quality or state in which choice or discretion is allowed.

   Some offices do not follow the corporate procedure, due to a culture of optionality.

Related terms

• option
• optional

Translations

See also

• call (finance)
• put (finance)