What are Exercise & Assignment

Описание: Exercise

The implementation of the holder’s right to buy (call) or sell (put) the underlying security at the strike price of the option contract.

Assignment

Assignment occurs when the option seller is notified that the contract is being exercised. The option seller must fulfill this obligation by selling the underlying security at the agreed upon strike price if the call was sold or buying the underlying security at the agreed upon strike price if the put was sold.

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