Do Europeans Exercise?
Quantitative Finance
Level
1
When would you early exercise an European option?
When the delta of the option has absolute value 1
When you have made enough money on the trade
Never
When the option is ITM
This section requires Javascript.
You are seeing this because something didn't load right. We suggest you, (a) try
refreshing the page, (b) enabling javascript if it is disabled on your browser and,
finally, (c)
loading the
non-javascript version of this page
. We're sorry about the hassle.
1 solution
European options can only be exercise at is maturity date.