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3 guides in Finabase Learn
- Cash-secured puts: mechanics, payoff and the obligation to buy How selling a cash-secured put works, what it can earn and lose, what the obligation to buy shares means in practice, and how it compares with a covered call.
- Covered calls: how they work, payoff, and assignment risk How a covered call combines owned shares with a sold call, what it can earn and lose, why the upside is capped, and what happens when the shares are called away.
- Option exercise and assignment: how it works and when it happens How option exercise works, how OCC assigns sellers at random, the expiration-day cut-off and auto-exercise rule, early assignment before dividends, and pin risk.
Educational content, not investment advice. Finabase Learn explains how markets and tools work. It does not recommend any security or strategy, and examples are for illustration only. Investing involves risk, including the loss of principal. Rules and figures are for the United States unless stated and can change — check the cited source before you act.