Options Glossary

Glossary: Early Exercise (assignment)

Last Updated: July 12, 2015

Glossary

Early Exercise (assignment)

What Does Early Exercise (assignment) Mean in Options Trading?

The assignment of underlying stock to the seller of option by the option buyer through executing his right to exercisean before it's expiry date. Only American-style options are subject to early exercise, while European-style options are not.

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