OptionAutomator Options Trading Glossary:

Definition, Examples & Resources:Cash Settlement / Cash Delivered'

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What is Cash Settlement / Cash Delivered in Options Trading ?

Cash Settlement / Cash Delivered
When the right of an option was exercised by the investor, proceeds are delivered in a cash settlement rather than the underlying asset. The investor does not take physical possession of an underlying in this case, but conveniently receives a cash transfer equivalent to the strike price of the option.

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