Assertion: put's obligation | /r/CapableOf | buy share
Facets:
value: at that price
type: MANNER
value: potentially
type: MANNER
value: by buying the put
type: MANNER
value: before a certain date
type: TEMPORAL
value: from the grantor
type: OTHER
Source sentences:
text: A call option gives the holder the right, but not the obligation, to buy shares from the grantor.
text: The put seller has the obligation to buy the shares of stock should the option owner decide to exercise their right to sell their shares of stock.
text: Alternatively, the investor could close the obligation to buy shares by buying the put in the market place prior to expiration and before an assignment notice is received.
text: The smart method here is to sell one or more cash-secured put options to take on the obligation to potentially buy the shares at a certain price before a certain date, and get paid money up front for taking on that obligation.
text: It's important to remember that ​you'd have to assume the obligation to buy the shares if the buyer decides to sell their position.
text: The reason Jack paid Jill is that Jack has increased his flexibility (because he has the option but not the obligation to sell the shares at $45), and Jill has decreased her flexibility (because she now has the obligation to buy the shares if Jack exercises his option that she sold him).
text: That's where your call option comes in handy since you do not have the obligation to buy these shares at that price - you simply do nothing, and let the option expire worthless.