Assignment and Expiration Risk: What Options Income Strategies Must Respect

Assignment and Expiration Risk: What Options Income Strategies Must Respect

by m.ghavampoori@icloud.com | May 15, 2026 | Investor Education, Options Strategy, Risk Management

Options income strategies are often explained through premium collection, but premium is only one part of the structure. The mechanics of assignment, exercise, expiration, and settlement can materially change the risk profile. Assignment occurs when an option seller...