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    5. ______ measures the sensitivity of an option to change in risk-free rates.

    Question

    ______ measures the sensitivity of an option to change

    in risk-free rates.
    A Delta Correct Answer Incorrect Answer
    B Gamma Correct Answer Incorrect Answer
    C Rho Correct Answer Incorrect Answer
    D Theta Correct Answer Incorrect Answer
    E Beta Correct Answer Incorrect Answer

    Solution

    Stock options are affected by Greeks like delta, theta, gamma. Rho measures the option’s sensitivity to change in the risk-free rate.

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    • NaBFID
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