Explain why the writer of an option would prefer an option with a high theta (all other

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Explain why the writer of an option would prefer an option with a high theta (all other factors equal).

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Bond Markets Analysis and Strategies

ISBN: 978-0133796773

9th edition

Authors: Frank J.Fabozzi

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Question Posted: Aug 22, 2015 07:51 AM

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Explain why the writer of an option would prefer an option with a high theta (all other

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The loss to the writer decreases to the extent the option price declines Thus the writer of an optio...View the full answer

Bond Markets Analysis and Strategies

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