We sold 10 call option contracts (recalling that one contract represents 100 shares of stock). As of

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We sold 10 call option contracts (recalling that one contract represents 100 shares of stock). As of today the delta is 0.6. How many shares of stock should we hold to be delta neutral?

The delta for put option is -0.4. What is delta for corresponding call option(same strike and maturity)?

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Investments Analysis and Management

ISBN: 978-1118363294

12th edition

Authors: Charles P. Jones

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Posted Date: Feb 28, 2024 01:54 AM

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We sold 10 call option contracts (recalling that one contract represents 100 shares of stock). As of

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To be delta neutral we need to offset the delta of the call options by holding an equ... View the full answer

Investments Analysis and Management

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