Glossary · Derivatives

Premium प्रीमियम

The price paid by the option buyer to the seller.

हिंदी में: प्रीमियम

ऑप्शन ख़रीदार द्वारा विक्रेता को चुकाई गई कीमत।

How it is used in the lessons

The seller (writer) receives the premium and takes on the obligation if the buyer exercises.

From Futures & Options

Buy a 24,000 call at ₹200 premium and sell a 24,500 call at ₹80 premium.

From Option Greeks & Strategies

The 'grey market premium' (GMP) quoted on social media is unofficial and unregulated.

From Market Rules & Investor Protection

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Definitions are for education. They are not investment advice. Check official sources such as SEBI and NSE for current rules.