A basket option is also known as an exotic option. A kind of financial derivative where the main asset is a collection of currencies, securities or commodities. Similar to other options, a basket option provides the holder the authority, but not the obligation, to buy or sell an underlying property at a particular amount, on or before a specific date (the holder has the option to buy or sell, or to let the option close worthless).
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Intermarket Trading System - ITS
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