Hello,
I have recently started using Alpaca. I am doing paper-trading. I can understand how paper trading can simulate trading of stocks but I have some questions on how it simulates the trading of options. To illustrate lets say I sell an option. If it were the real-world then this option is held by a real person who can then potentially exercise it before the expiration date. But on a paper trading account how does alpaca decide to early exercise the option? I am guessing the early exercise will never happen on a paper-account. Is that correct?