The value of additional optional investment opportunities available only after having made an initial investment. (noun)
Quality or state in which choice or discretion is allowed. (noun)
Examples of word optionality
I think last call we talked a little bit about the longer-term optionality you might have, if you need, on the one hand, to take out some 12-ounce capacity, you might be able to utilize that on the food part of the house.
: IBM-Sun Microsystems Talks Unravel Sun argued that the offer gave IBM too much "optionality," or leeway to walk away from the deal, according to one person familiar with the talks.
Sun argued that the offer gave IBM too much "optionality," or leeway to walk away from the deal, according to one person familiar with the talks.
Private clients were looking for "optionality" in returns (equity like returns during bull and bond like returns during bear) while institutions generally aimed for low volatility and contained correlation against other asset classes.
De Geus notes that the Street wants Synopsys to buy back stock, but says that, for now, he prefers to sit on the cash, noting that the "optionality" it provides is of "incredibly high value" in an uncertain environment.