An option contract whose payoff is determined by the average price of the underlying asset over a set time period (rather than the final price at expiration). Asian options are used to mitigate risk from extreme price swings of the underlying asset.
An option contract whose payoff is determined by the average price of the underlying asset over a set time period (rather than the final price at expiration). Asian options are used to mitigate risk from extreme price swings of the underlying asset.