Put

A "put" is a type of financial contract that gives the owner the right, but not the obligation, to sell a specific asset—like a stock—at a predetermined price within a certain time frame. Investors buy puts if they think the asset’s value will decrease, allowing them to sell at a higher price than the market offers later on. Puts can also be used to hedge against potential losses. Essentially, a put is a tool to protect or profit from a decline in the price of an asset.