Volatility & the Greeks

Volatility Volatility can be a very important factor in deciding what kind of options to buy or sell. Historical volatility reflects the range that a stock’s price has fluctuated during a certain period. We denote the official mathematical value of volatility as...

Understanding Option Greeks

When determining how options may react to a given change in some of the variable pricing inputs, investors turn to the Greeks for guidance. The most commonly used Greeks are Delta, Gamma, Theta, Vega, and Rho. Greeks are not a guarantee of exact option premium...

Index Options

Benefits of Listed Index Options Like equity options, index options offer investors an opportunity either to capitalize on an expected market move or to protect holdings in the underlying instruments. The difference is that the underlying instruments of index options...