Meaning & use
Optionality
Last updated
The quality or state of having multiple choices or the freedom to choose among various options, especially in decision-making or financial contexts.
See it in a sentence
Keeping the lease flexible preserves optionality if the business needs to relocate quickly.
Investors often pay a premium for the optionality embedded in convertible bonds.
A note on using this word
The term became especially popular in finance and strategy circles in the late 20th century to describe the value of keeping future choices open.
Words with a similar meaning
flexibilitychoice
Choose a synonym to suit the sentence. Meanings can overlap without being identical.
Words with an opposite meaning
rigidity
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