Investopedia

Delta Hedging: Definition, How It Works, and Example

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Somer G. Anderson is CPA, doctor of accounting, and an accounting and finance professor who has been working in ...
Investopedia

Delta Neutral: Definition, Use With a Portfolio, and Example

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee, and has a degree in accounting and ...
Nasdaq

How Experts Use Index Options Strategies to Manage Portfolios

Standardized call contracts, which are some of the tools we will review, were introduced to the markets in 1973, along with the Options Clearing Corporation and, of course, the Black Sholes Option ...
Nasdaq

Data Says Delta Hedge Selling Risk Still Remains

In last week’s commentary, I cautioned that stocks stiff faced delta-hedging risk, whereby sellers of portfolio insurance, or put options on the index and exchange-traded fund (ETF) options, are ...