I'm short some 267 SPY puts and trying to determine if I'll get assigned or not. SPY doesn't stop trading until 4:15 ET. However, TD, yahoo, google, etc. report the close at 4:00. It was close to 267 at 4:15 ET. Is there a place that lists the official closing price of SPY and other ETFs that trade until 4:15? I would define "official" as being the last trade that took place while the options market was still open.
What's the closing price of SPY?
- Thread starter ET180
- Start date
Pin! How does it feel?
Pin! How does it feel?
I'll let you know on Monday.
I know that there's multiple exchanges and each exchange can have it's own closing price, but I wish my broker or public quote sources would list the correct close price for ETFs that trade until 4:15. It's not just SPY, there are actually quite a few ETFs.
I'm seeing a close at 266.51, Currently trading around 267. It went up after 4 as the S&P futures rallied after 4 until they closed at 4:15. Whether or not you are assigned is based on the 4pm closing price, so you should be assigned based on the 266.51 price
To add though, the long holder has the option not to exercise, so he may file a contrary exercise as the Spy's ran up, so you really wont know until Monday.
If I had to bet, I'd say you will be assigned.
To add though, the long holder has the option not to exercise, so he may file a contrary exercise as the Spy's ran up, so you really wont know until Monday.
If I had to bet, I'd say you will be assigned.
Are you sure about that? I might be misunderstanding, but the reason that I asked the question was because of this article:
http://theoptionspecialist.com/2016/06/27/exercise-options/
Although the article states: "These options even trade through 4:15 p.m. Eastern, but the options are settled based on the 4 p.m. close."
And then goes on to give an example where worthless puts at 4:00 became ITM at 4:15 and got assigned to those who were short. So that seems to imply that it's the 4:15 PM trade price that matters. Which would make sense as that's when the option market closes for these ETFs.
The 4pm price is used for a closing price. This is the price that will be used for auto exercises. The long holder still has the option to not exercise his option, or exercise one that is out of the money at 4pm. Where the SPY is trading later will obviously affect his decision.
I usually do...I stopped watching after the 4:00 close and thought my puts would be assigned (I want them to be assigned to cancel out some short ITM calls) and was surprised that SPY came back that much. Probably due to triple witching.
Anyhow, if the consensus is that the puts won't be assigned, then I can simply buy SPY right now in the aftermarket to neutralize my position and effectively wake up flat SPY on Monday. If it will be assigned, then I don't have to do anything to end up flat.