Which counterparts of duration and convexity are the first- and second-order sensitivities of an equity market instrument to changes in the price of the underlying?

The correct answer is A. Delta and gamma. See the full explanation below for the reasoning.

Question

Which counterparts of duration and convexity are the first- and second-order sensitivities of an equity market instrument to changes in the price of the underlying?

Options

ADelta and gamma
BGamma and theta
CTheta and rho
DAlpha and Vega

How the community answered

(20 responses)

A
80% (16)
B
5% (1)
C
10% (2)
D
5% (1)

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