Question: In Financial Derivatives: Explain the practical issues and difficulties when using Gamma, Delta and Vega and why they are an important source of information to

In Financial Derivatives:

Explain the practical issues and difficulties when using Gamma, Delta and Vega and why they are an important source of information to both an options speculator and an options market maker, who (each) trade many options, written on different underlying assets. (You may use illustrative equations and numbers in your answer).

(15 marks)

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