Janine

Uninsurable Risk.



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A risk that cannot be covered by insurance. This could be because the risk is too great, or because the insurance company will not cover it. The company may have to self-insure, which means setting aside money to cover the risk. What is principle of insurable risk? The principle of insurable risk is that a … Read more

What Is Gamma Hedging?



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Gamma hedging is an options trading strategy that seeks to reduce the risk associated with changes in the price of the underlying asset. The goal is to offset the potential for loss that would result if the underlying asset’s price moves in a direction that is unfavorable to the position. The key to gamma hedging … Read more