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assignment definition - finance
The act of telling a futures or options writer that his or her contract has been exercised and that he or she must purchase or sell the underlying security at the specified strike price. At expiration, the exchange or clearinghouse assigns the futures or options contract to either a randomly or systematically chosen party.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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