For KIKO put option, if strike price or maturity time change, what will value change?
时间: 2024-05-29 22:10:01 浏览: 115
If the strike price or maturity time of a KIKO put option changes, the value of the option will also change.
If the strike price decreases, the option becomes more valuable because the underlying asset is now more likely to fall below the new strike price, making it easier to exercise the option and make a profit.
If the strike price increases, the option becomes less valuable because the underlying asset is now less likely to fall below the new strike price, making it more difficult to exercise the option and make a profit.
If the maturity time is extended, the option becomes more valuable because there is more time for the underlying asset to fall below the strike price.
If the maturity time is shortened, the option becomes less valuable because there is less time for the underlying asset to fall below the strike price.
阅读全文