Business / Taxes / Automatic Exercise: If you hold a call option, automatic exercise may occur if the contract is in-the-money by a certain amount. In this case, an in-the-money contract is one where the strike price — the price at which you would purchase the underlying instrument if the contract were exercised — is lower than the market price of that instrument. Generally speaking, exercising your option in this situation would produce a profit on the transaction. Certain options may be subject to automatic exercise authorized by the Options Clearing Corporation (OCC) unless you instruct them otherwise. Your brokerage firm may also have an automatic exercise policy.
Automatic Adjective Synonyms: self-acting, self-governing, self-regulating, mechanical, robot, automated
Exercise Adjective Synonyms: employ, apply, practise, bring to bear, put to use or effect, discharge, exert, wield, execute, utilize, effect
Exercise Verb Synonyms: harass, annoy, irritate, vex, harry, distress, worry, concern, burden, try, trouble, perturb, disturb, agitate, make nervous, drive crazy, drive up the wall
Exercise Noun Synonyms: work out, limber up, warm up, train, drill
Health / Fitness / Exercise Machine: Exercise machines are a category of exercise equipment that is not moved as a complete unit during the exercise. ? Exercise machines commonly (but not always) incorporate a stack of weight plates and MORE
Business / Finance / Exercise Limit: 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. MORE