Caveat Emptor : Let the Option Trader Beware Last Minute Option trading gives tremendous opportunities but be extremely cautious when you are dealing with such contracts. Especially if the contract has a high probability of ending In The Money. The options that expiry In The Money usually attracts a very high Securities Transaction Tax.

# Option Greek

## VEGA | UNDERSTANDING VOLATILITY ITS IMPLICATIONS

DEFINITION OF VEGA The change of options value for a percentage point change in implied volatility of the underlying.

## θ Theta | Understanding – Time is Money

The rate of change of the value of the option with respect to the price with all else remaining the same.

## Δ Delta | Understanding – Key to Position Analysis

Definition of Option Delta Its basic understanding is at what rate the option price is going to move with a change in the price of the underlying.