Automatic Exercise: If you hold a call option, automatic exercise may occur if the contract is in-the-money by a certain amount. In this case, an in-the-money contract is one where the strike price — the price at which you would purchase the underlying instrument if the contract were exercised — is lower than the market price of that instrument. Generally speaking, exercising your option in this situation would produce a profit on the transaction. Certain options may be subject to automatic exercise authorized by the Options Clearing Corporation (OCC) unless you instruct them otherwise. Your brokerage firm may also have an automatic exercise policy.

 

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Automatic Exercise: If you hold a call option, automatic exercise may occur if the contract is in-the-money by a certain amount. In this case, an in-the-money contract is one where the strike price — the price . . . View Full Definition

Exercise Machine: Exercise machines are a category of exercise equipment that is not moved as a complete unit during the exercise.  Exercise machines commonly (but not always) incorporate a stack of weight pl . . . View Full Definition

Exercise Notice: Cap on the number of option contracts of any one class of contract. that can be exercised within a five-day period contract. Stock option's exercise limit is typically 2000 contracts.

Exercise Price: An option's exercise price, also called the strike price, is the price at which you can buy or sell the stock or other financial product that underlies that option. The exercise price is set . . . View Full Definition