IB Risk Navigator

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jwcapital

Does anyone know how to use this feature? I am looking for a way to view my "net" Greeks on my options portfolio. I believe I may have found the procedure, but I wanted to double-check. In addition, I am not sure how each column would be expressed in decimel form--only whole numbers are given with an implied plus or minus sign. For example, the given delta on my portfolio appears to be +37, gamma as -1, vega as -170, and theta as +231. How does this translate into a decimel? I do know the meaning or the positive and negative aspect. Thanks for your help.
 
Quote from jwcapital:

Does anyone know how to use this feature? I am looking for a way to view my "net" Greeks on my options portfolio. I believe I may have found the procedure, but I wanted to double-check. In addition, I am not sure how each column would be expressed in decimel form--only whole numbers are given with an implied plus or minus sign. For example, the given delta on my portfolio appears to be +37, gamma as -1, vega as -170, and theta as +231. How does this translate into a decimel? I do know the meaning or the positive and negative aspect. Thanks for your help.
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If delta is 37, that's 0.37. It means your position acts as if you owned 37 shares of stock (or 37% of a round lot).

If theta is 231, you collect $231 daily in theoretical time decay

Gamma is -1. that means up one point, delta will be 36 and down one point it will be 38.

Vega = -170. that means if the IV of every option increased by 3 points, you lose $510. If IV declines by one point, you make $170.

Mark
 
Thanks for the explanation. I find this to be a valuable tool, especially when shorting options. Much easier than pencil and paper.
 
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