FRM: Stock Option Greeks

This is a brief review of the option Greeks. They are sensitivities: what is the change in option price with respect to [stock price | volatility | rate | term]. Delta: change in option price with respect to stock pric. Gamma: change in delta with respect to stock price. Vega: with respect to volatility. Rho: with respect to rate. Theta: with respect to term. For more financial risk videos, visit our website! http://www.bionicturtle.com

Comments

1. Oops.. at 4:50 you also mention "a longer term means a lower delta" when I think you meant "lower gamma". I know it's clear from the chart. Sorry, I just wanted to bring to your attention. Thx.
2. Hi David, I absolutely love your videos. I work in an investment bank and appreciate these tutorials. I think you mentioned at 4:15 or so that "options out of the money have low deltas, as do options deep in the money"..when I think you meant (if I'm not mistaken) that the delta tends (perhaps asymptotically) towards 1 when an option is deep in the money. Just want to point that out, or maybe I'm missing something here. Thanks again for your service to the finance community. Much appreciate!
3. thanks for my time ? thank you for YOUR time ^^ very helpful
4. thinkorswim
5. Thanks .. i'm studying APRM from PRMIA .. and this was helpful
6. You can go to nasdaq.com and review the option chain information, including the greeks.
7. What is a free program or website that will let me view the greeks of different options? I've looked all over the place. Thanks
8. @TimbergoSpielbergo thanks, short but sweet and supportive!
9. Excellent
10. great exp. Thanks.
11. Can you explain how Delta, Gamma, etc, was calculated in this spreadsheet?
12. Do gamma rays mutate your mom's rho, or is her vega to sore from delta's theta?
13. Great
14. you are amazing!
15. Thanks for the excellent presentation. Althought at 4:21 you state "We have low delta close to 0 when the option is deeply Out of the Money, and also when the option is deeply in the money. The second part seems incorrect. Option delta for deeply in the money is 1.0".
16. What program are you using to check the Delta of an Option? I can't figure out how to check the greeks of an option at all. I been using Google and Yahoo Finance and they don't seem to have any way to view option greeks. I'm pretty new to this.
17. Theta, Vega and Rho are the rate of change in the portfolio value with respect to their respective variables, not the change in option price..
18. someone can tell me how to read gamma
19. someone can tell me how to read gamma
20. I am doing a MSc in Banking & Finance and I gonna start to do an internship in equity derivatives sales. Your videos are great to brush up my skills. Thx a lot for your fantastic work! Keep going!