An options trader buys call options on a stock index, and wishes to trade shares of the underlying stock index to establish a delta-neutral position. To maintain a delta neutral position, they will need to:

Group of answer choices

A. Sell more shares of the index as the stock index rises.

B. Sell more shares of the index as the stock index falls.

C. No need to rebalance the initial position in shares of the index.

D. Close their position in index shares and hold Treasury bills.

Question 6 1 pts An options trader buys call options on a stock index, and wishes to trade shares of the underlying stock index to establish a delta-neutral position. To maintain a delta neutral position, they will need to: Sell more shares of the index as the stock index rises. Sell more shares of the index as the stock index falls. No need to rebalance the initial position in shares of the index. Close their position in index shares and hold Treasury bills