In China, ETF options are generally represented by call options and put options, while other options are generally represented by call options and put options. Buying put options is a very good short-selling tool, which is equivalent to buying insurance for the underlying securities you hold. For example, when trading, we are most afraid of falling and falling, and finally there is no money to cover the position, so how to exercise the put option? What are the ways and processes of exercising rights?

How to exercise put option?

In the investment market, the option contract bought on the same day can be exercised on the same day, but it will not be settled until the next day. If the buyer decides to exercise his rights, he can buy and sell a corresponding number of contract objects at a specific price. How to exercise put option? The details are as follows: For the buyer, the put option buyer has the right to sell the agreed number of contract objects to the seller in option contracts at the agreed time (expiration date) and at the agreed price (exercise price) according to the contract contents. The buyer of the put option has the right to sell, and does not undertake the obligation to sell, that is, it can sell or not.

As far as the seller is concerned, the put option seller has the obligation to purchase the agreed number of contract targets from the option contract buyer at the agreed time (expiration date) and at the agreed price (exercise price) according to the contract content. The seller of put options has only the obligation to buy (according to the buyer's requirements) and the right to buy. Put option sellers can get corresponding commission income by selling put options. Secondly, because the options trading market changes very quickly, once the underlying price falls, there may be greater risks. If you want to avoid this risk, you can sell one put option and buy another at the same time.

What are the ways and processes to exercise put options?

The method of exercise declaration, in which Shenzhen Stock Exchange options include exercise instruction merger declaration and ordinary exercise declaration (non-merger exercise declaration). The former takes 65,438+0 call option warehouse and 65,438+0 put option warehouse as the basic units, and the China settlement is based on the exercise price difference of the put subscription contract; The latter takes 1 option contract as the basic unit, and the exerciser needs to prepare sufficient funds for the securities; It should be noted that the exercise method of Shenzhen Stock Exchange option is European option, and the option buyer can only exercise the option on the expiration date, and the trading time of the last trading day of the option remains unchanged. The exercise time is 9: 00 a.m.15-1:30 a.m. (where call auction ends at -9: 30 randomly and does not accept the exercise instruction) and 13: 00- 15: 30 p.m.

Source Baidu: Caishun option.

Small knowledge of options: put options are put options, but the expression is different, but the connotation is exactly the same, which refers to the right to sell an asset at an agreed price within a certain period of time. The lower the asset price, the better for the party with put option. Generally speaking, buying a put option is a put contract, which means shorting. In addition, shorting actually means that investors can actually hedge stocks.