Delta hedging

2 stories tagged Delta hedging on Learning Fanatic.

Lesson 6.2: Black-Scholes and the Greeks Learn the Black-Scholes formula and the Greeks: delta, gamma, vega, theta and rho, how to hedge with delta, and why gamma and theta are two sides of one trade.
Lesson 6.4: Volatility trading and hedging Learn how delta hedging makes an option a volatility bet, why realised against implied volatility drives profit, how often to hedge and how variance swaps work.