Options Glossary: V
Vega
A measure of the rate of change in an option's theoretical value for a one-unit change in the volatility assumption. See also Kappa and Delta.
Vertical spread
Most commonly used to describe the purchase of one option and writing of another where both are of the same type and of same expiration month, but have different strike prices. Example: buying 1 XYZ May 60 call and writing 1 XYZ May 65 call. See also Bull (Or bullish) spread and Bear (Or bearish) spread.
Volatility
A measure of stock price fluctuation. Mathematically, volatility is the annualized standard deviation of a stock's daily price changes. See also Historic volatility, Individual volatility and Implied volatility.
Talk to Options Professionals
Questions about anything options-related?
Call or chat with an options
professional now.
Chat with Options Professionals
Questions about anything options-related?
Chat with an options professional now.
Email Options Professionals
Questions about anything options-related?
Email an options professional now.
- Absolutely free, and your info is private
- Stop and return to classes anytime
- Curriculums that fit your needs
-
7SEP
-
17SEP
-
18SEP
