Assigning in options trading
This lesson assumes that you understand your financial goals and are familiar with all the risks and opportunities online trading provides. You can schedule a free call with our expert trader that will help you find the best way to achieve your financial goals.
The term assignment means that the right or obligation to deliver the underlying asset is exercised. It can occur in 2 cases:
- The buyer of the option exercises his right before the end of the maturity and would like to buy or sell the underlying instrument for the strike of the option.