Financial Exam Help 123

Month: June 2022

  • Option Greeks

    —

    by

    Bill Campbell
    in ,

    The option Greeks – delta, gamma, theta, vega, and rho – refer to sensitivities of the price of an option to various underlying variables.  Here, we’ll be talking about options on stocks, though the discussion would be equally appropriate for options on, say, commodities.  It would not be appropriate for a discussion of options on…

  • FX Swaps

    —

    by

    Bill Campbell
    in

    Let’s start by addressing the elephant in the room: the name “FX swap” is just plain weird.  This isn’t a swap in any normal sense of the word swap: it isn’t an exchange of cash flows at some predetermined future date(s).  An FX swap is nothing more nor less than rolling over an expiring currency…