Exercise

When – the buyer of a call option takes delivery of the forward call position underlying an option or – the buyer of a put option takes delivery of the put position (calling up the rights granted to the owner of an option contract. In the case of a call, the option owner buys the underlying asset; in the case of a put, the option owner sells the underlying asset). – As a rule, only option buyers can exercise options; option sellers as writers generally take a passive role. – See option, commodity futures contract..

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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
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