Assuming all else is constant, which of the following statements best describes the delta of a put option?
A) The delta of a put at a stock price $S _ { 1 }$ is greater than the delta of the same put at stock price $S _ { 2 } S _ { 1 }$ .
B) The delta of a put at a stock price $S _ { 1 }$ is smaller than the delta of the same put at stock price $S _ { 2 } S _ { 1 }$ .
C) The delta of a put at a stock price $S _ { 1 }$ is equal to the delta of the same put at stock price $S _ { 2 } S _ { 1 }$ .
D) None of the above is always true for all puts.

Question

Assuming all else is constant, which of the following statements best describes the delta of a put option?
A) The delta of a put at a stock price $S _ { 1 }$ is greater than the delta of the same put at stock price $S _ { 2 } > S _ { 1 }$ .
B) The delta of a put at a stock price $S _ { 1 }$ is smaller than the delta of the same put at stock price $S _ { 2 } > S _ { 1 }$ .
C) The delta of a put at a stock price $S _ { 1 }$ is equal to the delta of the same put at stock price $S _ { 2 } > S _ { 1 }$ .
D) None of the above is always true for all puts.

Quizplus · Accepted Answer

The delta of a put option decreases (becomes more negative) as the stock price increases, meaning the delta of a put at a lower stock price ($S _ { 1 }$) is larger (less negative) than at a higher stock price ($S _ { 2 } > S _ { 1 }$).

Assuming All Else Is Constant, Which of the Following Statements S1S _ { 1 }S1​

Assuming All Else Is Constant, Which of the Following Statements $S _ { 1 }$