Moutinho, the third most-capped player in his country's history with 113 international appearances, joins a number of Portuguese players already at Wolves, including Diogo Jota, Ruben Neves, and new goalkeeper Rui Patricio.
The midfielder was part of Portugal's Euro 2016 triumph and also made three appearances at the World Cup in Russia.
Moutinho started his career at Sporting Lisbon before joining Porto in 2010, winning the top division title in 2011, 2012 and 2013.
He arrived at Monaco in 2013 and went on to play over 200 games for the French club, helping them win the Ligue 1 crown in 2017.
($1 = 0.7614 pounds)
(Reporting by Hardik Vyas in Bengaluru; Editing by Toby Davis)
