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We make it easy to get started If you dont have a Fidelity account already, you can open and fund an account now. To trade options youll first need to complete an options application and get approval on your eligible accounts.
Initiate an Exercise-and-Sell Transaction (cashless) With this transaction, which is only available from Fidelity if your stock option plan is managed by Fidelity, you may exercise your stock option to buy your company stock and sell the acquired shares at the same time without using your own cash.
Available Exchanges and availability of certain order types, Time-in-Force, and conditions are subject to change without notice. 5. The Directed Trading of Options is available for executions Monday Friday from 9:30 a.m. to 4:00 p.m.
$0.00 commission applies to online U.S. equity trades, exchange-traded funds (ETFs) and options (+ $ 0.65 per contract fee) in a Fidelity retail account only for Fidelity Brokerage Services LLC retail clients. Sell orders are subject to an activity assessment fee (from $0.01 to $0.03 per $1,000 of principal).
This is simple: if you have confidence in the company, it is almost always better to exercise than let your hard-earned options drop off the table for nothing. If you have already left the company, then you need to know how long you have before your options expire.
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You must meet the following requirements to trade options at Fidelity: A brokerage account. An option agreement on file with the appropriate option level for the trade youre attempting to place. A margin agreement on file (depending on the type of trade)
Settlement date may vary by security type and conditions of the trade but is generally two business days for equities and one business day for options and most mutual funds. Fixed income security settlement will vary based on security type and new issue versus secondary market trading.
Once an option has been selected, the trader would go to the options trade ticket and enter a sell to open order to sell options. Then, he or she would make the appropriate selections (type of option, order type, number of options, and expiration month) to place the order.

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