Price-Based Option
A derivative financial instrument in which the underlying asset is a debt security. Typically, these options give their holders the right to purchase or sell an underlying debt security (usually a bond) or to receive cash payment based on the current value of the underlying debt security.

Investopedia Says:
This unique type of option has been traded in the past, but is rarely traded in modern financial markets. The yield-based option is a a more commonly traded relative of the priced-based option.

Related Terms:
Bond
Bond Option
Derivative
Option
Underlying
Yield-Based Option

• Corporate Bond
• Corporate Cannibalism
• Corporate Capital
• Corporate Charter
• Corporate Citizenship
• Corporate Debt Restructuring
• Corporate Finance
• Corporate Governance
• Corporate Governance Quotient (CGQ)
• Corporate Governance Quotient (CGQ)
• Corporate Inflation-Linked Securities
• Corporate Inversion
• Corporate Kleptocracy
• Corporate Pension Plan
• Corporate Refinancing
• Corporate Resolution
• Corporate Social Responsibility
• Corporate Tax
• Corporation
• Correction
• Correlation
• Correlation Coefficient
• Correspondent
• Cosign
• Cost Accounting