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To implement the right of the holder of an option to buy (in the case of a call) or sell (in the case of a put) the underlying security.


In option contracts, to buy (in the case of a call) or sell (in the case of a put) the underlying asset. The option holder has no obligation to exercise the option, and only does so if he/she believes it benefits him/her. Depending upon the nature of the option, this may be done at any point during the life of the contract, or it may only be done on the contract's expiry date. The strike price of the sale is agreed-upon in the option contract, that is, before the option is exercised.


To require the delivery (for example, a call option) or to force the purchase (for example, a put option) of the option's underlying asset. Many options expire without being exercised because the strike price stated in the option is unfavorable to the holder.


When you act on a buying or selling opportunity that you have been granted under the terms of a contract, you are said to exercise a right.

Contracts may include the right to exchange stock options for stock, buy stock at a specific price, or buy or sell the security or product underlying an option at a specific exercise price.

For example, if you buy a call option giving you the right to buy stock at $50 a share, and the market price jumps to $60 a share, you'd likely exercise your option to buy at the lower price.

References in periodicals archive ?
Women with any degree of uterine prolapse or recently delivered mothers with or without genuine stress incontinence are usually encouraged by their physicians to perform pelvic floor exercises at home.
PELVIC FLOOR EXERCISES Practising at least three times a day can strengthen your pelvic floor muscles and give you more control.
It can take a few months to see and feel a difference with bladder training and pelvic floor exercises, but using lights by tena can help you feel confident and fresh straight away.
I couldn't work my abdominals for a while, but I was doing my pelvic floor exercises all the time.
While others used their imagination and pelvic floor exercises," he said.
I had quite a long labour and assisted delivery and I was aware of the benefits of pelvic floor exercises from my training as a physio.
It primarily consists of pelvic floor exercises and the use of vaginal pessaries.
Vaginal cones are small weights, which can be used by women to help with their pelvic floor exercises.
Pelvic floor exercises are a key element to the exercises advocated in this book.
Pelvic floor exercises are helpful, either by following a good information leaflet explaining the exercises or taught by a physiotherapist.
Its basic recommendations are: All pregnant women without contraindications should be encouraged to participate in aerobic and strength-conditioning exercises; their goals should be to maintain a good fitness level throughout their pregnancy, without trying to reach peak fitness, or train for competition; they should choose activities with the least risk of loss of balance or fetal trauma; they should be advised that adverse outcomes are not increased with exercise; they should be advised that pelvic floor exercises initiated immediately postpartum may reduce the risk of future urinary incontinence; and they should be advised that moderate exercise during lactation does not adversely affect breast milk.