What happens if I let my option expire without doing anything? My options are in the money.?

Answer 1

Then you lose the money--that's why they are called options--you have an option.

Answer 2

Are you a seller of the options or a buyer? Are they calls or puts? It sounds like you are a buyer of calls and you are in the money, but I am assuming this from your question.

If you are in fact a buyer of calls and you are in the money on the upcoming expiration date, you have two choices:

You have the right to buy the product in the option at the strike price you bought at.

Or you can sell them and get your in the money amount.

I would sell them and you might be better off because there is probably some time value in there with the intrinsic value. Alot can happen tomorrow if that is when they expire. The stock could go down in value precipitously and then you are out of the money.

Answer 3

It depends if they are long or short and calls or puts.

In general, if they expire in the money, the transaction goes through. If you have a long call on a stock at 50, and it is trading at 55, you will buy 100 shares. Make sure you have money in your account. Otherwise, sell before they expire.

Answer 4

I am assuming you are talking about call options.

If you want to take profit now, you should sell the option rather than wait for expiry. This is because the underlying stock price might go down tomorrow and secondly, selling it now will allow you to redeem some of the time value of the call option.

Answer 5

Your options will be automatically executed if the are 0.05 in the money. It was just recently changed from 0.25. And the stock sold.

Answer 6

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Answer 7

sell them!