deferred premium option

deferred premium option definition - business

deferred premium option

An option requiring payment of the premium at maturity rather than on the purchase date. The premium is paid whether or not the option is exercised. Also called Boston option.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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