Asset-or-Nothing Put Option

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DEFINITION of 'Asset-or-Nothing Put Option'

An option payoff that is equal to the asset's price if the asset is below the strike price, otherwise the payoff is zero.

BREAKING DOWN 'Asset-or-Nothing Put Option'

These types of options don't function like regular (plain vanilla) options that pay the difference between the exercise (strike) price and market price at expiry.

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