Expiration refers to the date on which a contract terminates.
Several investment products have expiration dates. The most common ones are stock options. An option grants the right to buy or sell a stock or other asset as a specified price on a specified date. That right can have a market value and some are actively traded on markets like the Chicago Board Option Exchange (CBOE). When the option expires, it is void, and has no further market value.
Recent Mentions on Fool.com
- Is SolarCity's Stock a Buy?
- Is McDonald's Sitting on the Key to Its Recovery?
- 3 Reasons to Be Wary of SolarCity Stock
- Billionaire George Soros Just Dumped These 3 Dividend Stocks
- The 3 Biggest Tax Changes You Need to Be Aware Of
- General Electric Company: A Congressional Sucker Punch From a "Worthless" PTC Tax Credit