I'm trying to understand the settlement process for NDX. Specifically, I want to know if NDX settles in cash or if there's another form of settlement involved. Could you please clarify this for me?
5 answers
Ilaria
Mon Nov 25 2024
Instead, they are settled in cash upon reaching their expiration date.
CherryBlossomDancing
Mon Nov 25 2024
Upon expiration, holders of these options do not receive any physical or actual underlying assets.
KimonoGlitter
Mon Nov 25 2024
The cash settlement process is straightforward and ensures that holders receive the appropriate value based on the option's performance.
StormGalaxy
Mon Nov 25 2024
The NDX and NDXP options operate under the European style of option trading.
BonsaiBeauty
Mon Nov 25 2024
This means that they cannot be exercised early, unlike American style options.