1. A financial derivative that combines characteristics of a forward contract and an option, giving the holder the right but not the obligation to enter into a forward contract at a predetermined price on or before a specific date
The investor purchased a forward option to hedge against potential currency fluctuations.
O investidor comprou uma opção de compra futura para se proteger contra possíveis flutuações cambiais.
2. An agreement that grants the buyer the right to execute a forward contract at a predetermined strike price
The forward option provided flexibility in managing foreign exchange exposure.
A opção de compra futura forneceu flexibilidade no gerenciamento da exposição cambial.