How to get an option assigned

T

traderwald

Hi guys ,

Is there any way to get a covered call option assigned ? If one has a Covered call valid for about 50 days and would like to get assigned as soon as it gets ITM (with option being valid for 50 days)

Thank you
 
If you are short options, you don't have rights, you have obligations.

On a covered call, you generally won't get assigned early unless it is quite a bit ITM with an upcoming ex-dividend. Very deep ITM options are occasionally assigned without an upcoming ex-div too, (somewhat dependent on short term interest rates.)

If you want to unwind an ITM covered call, you'll generally have to give up profit in an amount a little bit more than what the corresponding put option (of the same underlying, with the same strike and expiry of your short call) is trading at.
 
Manufacture the exercise - sell the stock and the option. The net should be higher than if you waited especially if something is going on.
 
The core issue is why do want it early assigned? If the answer is unclear I would get out. You don't have to answer online - if you want to wait until it MAY go ITM then clear out when that happens. If it's OTM and stays OTM then there are a couple of ways to go - depends on your capital and a number of other factors. The core question is why do you want to bail? That's for you to decide.
 
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