00:35 Value of Underlying 08:25 Exercise Price 12:27 Time to expiration 23:33 Risk Free Rate 26:37 Volatility of the Underlying 30:16 Income or Cost related to owning the Underlying 35:09 Summary
Hi, could you please explain why in the Practice Problem 9 of the Learning Module 8 of Derivatives that rising interest rate would negatively impact both the options strategy? Appreciate much for all of your hard works. Thank you
because a rising rate decreases the value of a put and increase the valua of a call. The question talks about a short position in the put and long position in the call. e
the upper bound of put option is the exercise price or the present value of the exercise price ? i saw an question refers it is the present value and you mentioned that it is exercise price
Please watch this video: ruclips.net/video/fSWehq6-UOk/видео.htmlsi=gRKEg_xlZZva4_Bv At 1:09:10 I discuss this specific issue and I say that I don't agree with what is in the Curriculum. I think it should be the present value of the exercise price but the Curriculum says exercise price.
Hello sir , Impact of Increase in Time value would have a negative impact on exercise value { without considering time value component } of put option and will have a positive impact on P(t) { value considering both component time value and exercise value } assuming it’s not a deep In the money put option.?
00:35 Value of Underlying
08:25 Exercise Price
12:27 Time to expiration
23:33 Risk Free Rate
26:37 Volatility of the Underlying
30:16 Income or Cost related to owning the Underlying
35:09 Summary
Not in CFA but love learning about options trading thank you!
ME TOO
Hi, could you please explain why in the Practice Problem 9 of the Learning Module 8 of Derivatives that rising interest rate would negatively impact both the options strategy? Appreciate much for all of your hard works. Thank you
because a rising rate decreases the value of a put and increase the valua of a call. The question talks about a short position in the put and long position in the call.
e
the upper bound of put option is the exercise price or the present value of the exercise price ? i saw an question refers it is the present value and you mentioned that it is exercise price
Please watch this video: ruclips.net/video/fSWehq6-UOk/видео.htmlsi=gRKEg_xlZZva4_Bv
At 1:09:10 I discuss this specific issue and I say that I don't agree with what is in the Curriculum. I think it should be the present value of the exercise price but the Curriculum says exercise price.
Hello sir ,
Impact of Increase in Time value would have a negative impact on exercise value { without considering time value component } of put option and will have a positive impact on P(t) { value considering both component time value and exercise value } assuming it’s not a deep In the money put option.?
Perfect ♥️
If the costs increase the put option value decrease ?
Yes, that's correct.