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Delta hedge |
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Delta hedgeA dynamic hedging strategy using options that calls for constant adjustment of the number of options used, as a function of the delta of the option.Delta hedge Similar MatchesDelta sharesDelta sharesA term previously given to the shares of smaller companies least traded on the London Stock Exchange, along with alpha, beta and gamma shares. These terms were replaced by the normal market size classification in January 1991. Delta cross hedgeDelta cross hedgeA futures hedge that has both maturity and currency mismatches with an underlying exposure. Delta neutralDelta neutralDescribes value of a portfolio not affected by changes in the value of the asset on which the options are written. Delta neutralDelta neutralA position where the sum of the deltas of the component legs adds up to 0. Delta SpreadDelta SpreadA ratio spread that is established as a neutral position by utilizing the deltas of the options involved. The neutral ratio is determined by dividing the delta of the purchased option by the delta of the written option. See also Ratio Spread and Delta. Further Suggestionsdelta |
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