option assignment

W

Wil Klem

If I am holding an open long position and choose to assign the position, is it guaranteed that it will happen? Roughly how long does it take for the transaction to settle? Does open interest come into play?

Thanks for your replies.
 
If you exercise today, you will see your stock position tomorrow. Open interest is only relevant to the side that gets assigned. Not an issue for you.
 
Thanks for the quick reply. This checks one more thing off my things to understand list.

Is the commission on the assignment the same as any other trade?
 
Broker dependent. Some brokers charge the same as a stock trade. Some charge a line charge. If it is a retail broker, my expectation is that they charge a fee per strike. If it's 1000 contracts or 1 contract it will cost the same. You have to ask.
 
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