What is the standard length of an option contract?

The standard length of an option contract for typical equity options is indeed not represented by any of the shorter time frames listed. Rather, the correct answer relates specifically to Long-term Equity Anticipation Securities (LEAPS), which are typically options with expiration dates that can extend beyond the standard terms of short-term options.

Regular equity options generally expire after a period of about one month, while LEAPs are designed to provide more flexibility for investors seeking to hold options for a longer period. LEAP options can last for up to 39 months, which is significantly longer than conventional options. This longer duration allows investors greater latitude in strategizing around investments, market movements, and price changes over an extended timeline.

Therefore, the understanding of option contracts includes recognizing LEAPs as a unique subset that deviates from the standard one-month time frame of regular options, showcasing their utility in long-term investment strategies.