| | InvestHub.com's
Finance Dictionary and Glossary of Investment Terms
embedded option
Definition 1.
An option that is part of the structure of a bond.
|
Definition 2.
An option that is an inseparable part of another instrument. Compare this to a normal (or bare) option, which trades separately from the underlying security.
|
Definition 3.
An option that is part of the structure of a bond that gives either the bondholder or the issuer the right to take some action against the other party, as opposed to a bare option, which trades separately from any underlying security.
|
|
|