Time Value

Discussion in 'Options' started by SCI new york, May 14, 2010.

  1. is there a formula for figuring out the time value deterioration of OTM options
  2. MTE


    Theta is the letter that denotes time decay. To calculate it use any of the option pricing models, such as Black Scholes.
  3. thanks!
  4. Google "theta formula" and you'll get the dirty details :)