Customer Notice This customer notice is not exhaustive and only provides the basic information necessary for trading U.S. stock options. Webull reserves the right to make adjustments at any time without prior notice. The risks associated with stock options are greater compared to stocks, and options prices are influenced by various factors including the price of the underlying stock, time value, implied volatility, and more.
Trading Hours North American Eastern Standard Time (Eastern Time) 9:30 AM - 4:00 PM; some ETF options trade until 4:15 PM Eastern Time.
The cut-off time to open positions for options expiring that day is 3:00 PM Eastern Time; if the opening order does not execute, it will be forcefully canceled starting at 3:25 PM Eastern Time.
Types of Underlying Stocks Each contract represents 100 shares.* *After corporate actions such as stock splits, the number of shares per contract may not be 100. Learn More
Expiration Dates Options typically expire weekly (Fridays) and monthly (the third Friday). If the expiration date falls on a public holiday, it will be adjusted accordingly. For instance, if that Friday is a public holiday, the expiration will be adjusted to Thursday. In certain cases of corporate actions affecting stocks (e.g., delisting), options may expire early.
Exercising Stock Options Webull has no obligation to inquire whether customers will exercise stock options. If a customer decides not to exercise stock options (Long Call or Long Put) on the expiration date, they must submit a "Do Not Exercise" (DNE) instruction via the app by 3:25 PM Eastern Time that day. Otherwise, if the conditions for exercise are met, the stock option will be automatically exercised.
If the customer’s account does not have sufficient cash or buying power to buy the relevant underlying stock (applicable to Long Call positions) or does not hold sufficient relevant underlying stocks for settlement (applicable to Long Put positions), and this leads to the automatic exercise of options that have not been marked DNE, Webull will have full discretion on how to handle that option. This includes but is not limited to exercising the option on behalf of the customer, not exercising the option (and marking it DNE), or closing the option position before market close.
The DNE feature is only applicable to single-leg options and does not apply to strategies involving multiple legs.
If a customer’s account lacks sufficient cash or buying power to exercise the entire multi-leg option on the expiration date, Webull will have full discretion on how to handle that option, which may include exercising the option on behalf of the customer, not exercising the option, or closing the entire multi-leg option position before market close.
Webull is not responsible for any related losses incurred by customers due to automatic expiration or DNE.
Early Exercise The system does not currently support early exercise.
Do Not Exercise (DNE) If a customer plans not to exercise an option, they should submit a DNE instruction through the app for that option (in part or in full) or close the position before market close.
Customers can change the DNE status of their option position at any time before 3:25 PM Eastern Time on the expiration date.
Customers must mark the option position DNE by no later than 3:25 PM Eastern Time on the expiration date.
Any options marked DNE on the expiration date will not enter the automatic exercise procedure, regardless of whether the option is in-the-money, out-of-the-money, or at-the-money.
If the customer’s account does not have sufficient cash or buying power to buy the relevant stocks (applicable to Long Call positions) or does not hold enough relevant stocks for settlement (applicable to Long Put positions) on the expiration date, but the option still has remaining value, Webull may choose to forcibly close the position before expiration to protect the customer's interests (enforced starting at 3:25 PM Eastern Time on the expiration date).
Webull will only mark the option DNE if it needs to but cannot forcibly close the position on the expiration date.
The DNE feature is only applicable to single-leg options and does not apply to multi-leg options.
Expiration Exercise If a customer holds a Long Call or Long Put option, and all of the following conditions are met before 3:25 PM Eastern Time on the expiration date, the option will be automatically exercised by the U.S. stock clearinghouse:
a) The in-the-money value of the option is USD 0.01 or more (this in-the-money trigger value is subject to the clearinghouse's announcements), indicating that the exercise price of the call option is at least USD 0.01 below the closing price of the underlying security during normal trading hours on the expiration date, or that the exercise price of the put option is at least USD 0.01 above the closing price of the underlying security during normal trading hours on the expiration date; b) The customer’s account has sufficient cash or buying power to buy the relevant underlying stock (for Long Call positions) or has sufficient relevant stocks for settlement (for Long Put positions); c) The customer has not issued a DNE instruction to Webull regarding that option; and d) The option has not been marked DNE by Webull. | 
