7.1 The exercise date of options of the same series will be the last
Friday of the month in which the option expires.
7.2 The closing Maof-25 index for the exercise of an option is the
Maof-25 index last published prior to the exercise date.
7.3 On the exercise date, all the call options whose closing price
exceeds their exercise price shall be exercised and all the put options
whose closing price is less than their exercise price shall be
exercised.
7.4 The Clearing House is responsible for the options' exercise, and
exercise shall be effected by payment of the positive difference to the
member who holds the option. Such payment shall be made as set out
below:
- 7.4.1 shortly after the exercise date, the account of a member who
holds an option will be credited with the positive difference;
- 7.4.2 shortly after the exercise date, the account of a member who
writes an option will be debited with the positive difference.
These transactions will be executed in the Clearing House account of
each Clearing House member by setting off the amount due to him against
the amount due from him in respect of all such transactions and paying
only the balance.
7.5 The Clearing House's liability will expire when the account of a
member who holds an option has been credited with the positive
difference.
7.6 The TASE member will credit or debit his customers in respect of
the exercise of options at the same time as his account in the Clearing
House is credited or debited in accordance with the aforegoing and a
TASE member who is not a Clearing House member will credit or debit his
customers in respect of the exercise of options at the same time as his
account is credited or debited by the Clearing House member through whom
the clearance of his transactions is effected.
7.7 The debits and credits in respect of the exercise of options will
be made on the first business day of the week after the option exercise
date.