SIE practice questionmediumGreeks basics
Which Greek measures the rate of change in an option’s price for a $1 move in the underlying stock?
- ATheta
- BDelta✓ Correct answer
- CGamma
- DVega
Explanation
Why B — Delta
Delta measures change in option premium for a $1 move in the underlying. Gamma measures the change in delta, theta time decay, and vega volatility.
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