American optionnoun [ C ]
ukusalso American-style optionFINANCE an option (= right to buy in the future at a particular price) to buy particular shares at any time before their end date:
Adjustments to option prices as a result of early exercise of American options are worked into the calculations at the required point in time.
an American-style option on the Major Market Index (MMI) of US blue chip stocks
Compare
Asian option
European option