Exercise

To implement the right of the holder of an option to buy ( in the case of a call) or sell ( in the case of a put) the underlying security. The New York Times Financial Glossary

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exercise ex‧er‧cise [ˈeksəsaɪz ǁ -ər-] verb [transitive]
1. formal exercise power/​influence/​a right etc to use your power, influence or a right that you have:

• Shareholders were encourage to exercise their right to vote.

2. FINANCE exercise an option to buy the property mentioned in an option:

• The seller is likely to exercise the option if the market value of the property is above the repurchase price.

— exercise noun [singular] :

• Shares will be allotted or transferred within 28 days of the exercise of an option.

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   To make use of the right possessed by the holder of an option. The option holder notifies the writer that they wish to exercise or assign their option. The writer is then obliged to the holder on the terms already agreed - they must buy or sell the underlying asset.
   ► See also Assign.

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Ⅰ.
exercise UK US /ˈeksəsaɪz/ verb
[I or T] to do physical activities to make your body strong and healthy: »

This product is aimed at people who exercise on a regular basis.

[T] to use something such as a right or choice: exercise a right/power/choice »

The landlord may exercise his right to review the rent.

»

exercise power/control/influence (over sth)

exercise an option — Cf. exercise an option
Ⅱ.
exercise UK US }} /ˈeksəsaɪz/ noun
[C or U] physical activity that you do to make your body strong and healthy: do/take exercise »

The office has a gym for those who like to do exercise in their lunch hour.

»

There are many types of equipment out there in the exercise market.

»

exercise equipment/machines

[C] an action or actions intended to improve something or make something happen: »

10,000 scientists and businessmen took part in an exercise to identify technology trends.

»

The outing was arranged by the firm as part of a team-building exercise.

»

a cost-cutting exercise

»

a brainstorming exercise

[U] FORMAL the use of something such as a right, choice, or power: »

The document sets out guidelines on the exercise of voting rights.

[U] FORMAL the act of doing a particular job: »

Many journalists have lost their lives in the exercise of their profession.

the exercise of an option — Cf. the exercise of an option

Financial and business terms. 2012.

Synonyms:

Look at other dictionaries:

  • exercise — ex·er·cise 1 / ek sər ˌsīz/ n 1: the discharge of an official function or professional occupation 2: the act or an instance of carrying out the terms of an agreement (as an option) exercise 2 vt cised, cis·ing 1: to make effective in action …   Law dictionary

  • Exercise — Ex er*cise, n. [F. exercice, L. exercitium, from exercere, exercitum, to drive on, keep, busy, prob. orig., to thrust or drive out of the inclosure; ex out + arcere to shut up, inclose. See {Ark}.] 1. The act of exercising; a setting in action or …   The Collaborative International Dictionary of English

  • Exercise — Ex er*cise, v. t. [imp. & p. p. {Exercised}; p. pr. & vb. n. {Exercising}.] 1. To set in action; to cause to act, move, or make exertion; to give employment to; to put in action habitually or constantly; to school or train; to exert repeatedly;… …   The Collaborative International Dictionary of English

  • Exercise — Ex er*cise, v. i. To exercise one s self, as under military training; to drill; to take exercise; to use action or exertion; to practice gymnastics; as, to exercise for health or amusement. [1913 Webster] I wear my trusty sword, When I do… …   The Collaborative International Dictionary of English

  • exercise — [n1] work, effort act, action, activity, calisthenics, constitutional*, daily dozen*, discharge, discipline, drill, drilling, examination, exercising, exertion, gym, labor, lesson, movement, occupation, operation, performance, problem, pursuit,… …   New thesaurus

  • exercise — [ek′sər sīz΄] n. [ME & OFr exercice < L exercitium < pp. of exercere, to drive out (farm animals to work), hence drill, exercise < ex , out + arcere, to enclose < IE base * areq , to protect, enclose > Gr arkein] 1. active use or… …   English World dictionary

  • exercise — ► NOUN 1) activity requiring physical effort carried out for the sake of health and fitness. 2) a task set to practise or test a skill. 3) an activity carried out for a specific purpose: a public relations exercise. 4) (exercises) military drills …   English terms dictionary

  • exercise — n practice, drill (see under PRACTICE vb) Analogous words: *action, act, deed: using or use, employment, utilization, application (see corresponding verbs at USE): operation, functioning, behavior (see corresponding verbs at ACT) exercise vb… …   New Dictionary of Synonyms

  • exercise — both as a noun and a verb, is spelt ise, not ize, and has only one c …   Modern English usage

  • exercise — exercisable, adj. /ek seuhr suyz /, n., v., exercised, exercising. n. 1. bodily or mental exertion, esp. for the sake of training or improvement of health: Walking is good exercise. 2. something done or performed as a means of practice or… …   Universalium

  • exercise — {{Roman}}I.{{/Roman}} noun 1 use of the body to keep healthy ADJECTIVE ▪ good, healthy ▪ hard, heavy, high intensity (esp. AmE), intense, strenuous, vigorous …   Collocations dictionary

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