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The Options Insider Radio Network


The Options Insider Radio Network is the premier audio destination for options traders. Our network feed provides access to a vast array of popular programs including The Option Block, Options Boot Camp, The Advisors Option, This Week in Futures Options, Volatility Views, Options Insider Radio and much more. Join the thousands around the globe who turn to The Options Insider Radio Network for options information, analysis and education.

Jan 23, 2013

Options Bootcamp 15: Secrets of Exercise and Assignment

 

Basic Training: Exercise, Assignment, and Settlement.

There are two styles of options you will encounter -- American and European style. What's the process when your exercises and assignments are determined? When do those contracts settle? How do I determine if my options are going to be exercised or assigned against me? What is pin risk? What is a dividend trade?

Mail Bag: Even options recruits get mail privileges.  Send those letters in.

  • Email question from Alan P - Michigan: You guys have talked about the difficulties of executing multi-leg spreads in the past. What should I, as a retail options trader, be aware of when executing my spreads to guarantee better execution?
  • Tweet from Riley: Are there any plans to speed up exercise and settlement in the options market?
  • Facebook question from Dan Thomas: Isn't it a good thing for my call that aren't in the money to be exercised against me? Doesn't that mean that I'm locking in a profit by buying or selling stock at a more favorable price then where it's currently trading?