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The amount paid by the option buyer to the option seller, at the initiation of the option contract, to compensate option sellers for their risk.

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The CFA Institute Investment Foundations Program covers the essentials of finance, ethics, and investment roles, providing a clear understanding of the global investment industry.


1. The amount paid by the option buyer to the option seller, at the initiation of the option contract, to compensate option sellers for their risk.





 
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