How do I exercise my options contract? (Can I exercise my options contract before the expiration date?)
You can choose to exercise your options by contacting us through the Help Center or by contacting a broker. Through the Help Center a memo can be sent with exercise instructions that specify the following:
1 - Contract
2 - Quantity
3 - Action statement "I would like to exercise the following options ...."
Conversely, if you wish to submit instructions via e-mail or have any questions about option exercise instructions or assignment; please send us an e-mail at [email protected]
The cut-off for submitting exercise requests is at 4:30 pm the day prior to expiration date. Any requests submitted afterwords are processed on a best-effort basis. The underlying may fluctuate between the time your instruction is received and the submission of the exercise.
What will happen to my account if I exercise my option contact?
On the day of an Option Exercise request, you must maintain sufficient buying power or corresponding underlying shares to support the early exercise of a call or a put option contract. Sufficient buying power or corresponding underlying shares must be held throughout the day until the end of trading at 8 pm. So for example, if you're exercising one $1 call option you will need to maintain $100 in buying power in the account until 8 pm on the day an exercise request is submitted. The exercise request is processed overnight and your position and balances will be updated on the next business day.
What is the DNE button for?
You may find a “DNE” button when placing option orders or by selecting the position. DNE stands for Do-Not-Exercise.
By enabling the DNE button, the options contract will not be automatically exercised when it expires no matter if it is ITM, ATM or OTM*. However, it may still be auto liquidated on the day of expiration.
Disable the DNE button：
The options will automatically be exercised if they expire $0.01 or more in-the-money.
Option trading entails significant risk and is not appropriate for all investors. Option investors can rapidly lose the value of their investment in a short period of time and incur permanent loss by expiration date. You need to complete an options trading application and get approval on eligible accounts. Please read the Characteristics and Risks of Standardized Options and Option Spread Risk Disclosure before trading options.