• The expiration date of derivative financial instruments is the final date on which the derivative financial instrument is valid. After this time, the contract expired.

  • Depending on the type of derivative, the expiration date may lead to different results.
  • Option holders can either exercise the option (and realize a profit or loss) or let it expire.
  • Futures contract holders can choose to rollover the contract to a future date or close their position and take delivery of the asset or commodity.