Question
The DELTA of Call A and Put A are 0.2735 and -0.7265 respectively. Assume that you create a portfolio that is short one call and
The DELTA of Call A and Put A are 0.2735 and -0.7265 respectively. Assume that you create a portfolio that is short one call and long one put. What is the DELTA of this portfolio? Can you find the DELTA without computing? Explain. Assume that a share of stock is added to the short call/long put portfolio. What is the DELTA of the entire position? Explain.
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Personal Finance Turning Money Into Wealth
Authors: Arthur J. Keown
6th Edition
0132719169, 978-0132719162
