IB Risk Navigator

Discussion in 'Options' started by jwcapital, Mar 3, 2009.

  1. 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.
  2. 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.

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