Comment on Theta

Karthik Rangappa commented on 14 Aug 2018, 03:25 PM

Mayursinh, when we say time value, it includes implied volatility. Remember, implied volatility is one of the parameters of time value…or in other words, time value is a function of time to expiry, IV, Strike, and the option type. Most traders think time value is just attributable to time to expiry, in a sense its true, but it also includes other parameters.

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