An investor owns 3 calls with a Vega of .08 and is also long 2 puts with a Vega of .12. As a net position, is this investor long or short Vega and what will the effect be of an increase in implied volatility, all other factors remaining constant? Select the correct response. A) Net long Vega with an increase in position values B) Net flat Vega and no change in position values C) Net short Vega and a decrease in position values D) Net flat Vega and an increase in position values

An investor owns 3 calls with a Vega of .08 and is also long 2 puts with a Vega of .12. As a net position, is this investor long or short Vega and what will the effect be of an increase in implied volatility, all other factors remaining constant? Select the correct response. A) Net long Vega with an increase in position values B) Net flat Vega and no change in position values C) Net short Vega and a decrease in position values D) Net flat Vega and an increase in position values