What Option Assignment Really Means

Assignment is one of the most misunderstood parts of options trading — but if you’re selling options, it’s something you must understand.

In this lesson, we discussed:

• The difference between exercise and assignment
  
• What happens to your account when you’re assigned
  
• Examples using both calls and puts
  
• How to protect yourself from surprises
  

If you sell options — whether covered calls or cash-secured puts — understanding assignment is part of becoming a professional trader.