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   wisdomtool Moderator Staff

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   #1

   This is something that has been puzzling me for a very long time. Why are the main options named American and European options? I read somewhere that this is because American options are traded commonly in America and vice versa for European options. But I don't think so. Any others have any ideas?
   

    

   wisdomtool, Aug 1, 2012 IP
   
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   browntwn Illustrious Member

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   #2

   I would assume it was because that type of option was first used in those markets and thus became known that way. So to anyone not familiar with it, an American Option would follow American rules.... and visa vera
   
   
   

   http://en.wikipedia.org/wiki/Option_style

    

   browntwn, Aug 4, 2012 IP

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