Greeks (finance)

In mathematical finance, the Greeks are the quantities representing the sensitivity of the price of derivatives such as options to a change in underlying parameters on which the value of an instrument or portfolio of financial instruments is dependent. The name is used because the most common of these sensitivities are denoted by Greek letters (as are some other finance measures). Collectively these have also been called the risk sensitivities,risk measures or hedge parameters.

Use of the Greeks

The Greeks are vital tools in risk management. Each Greek measures the sensitivity of the value of a portfolio to a small change in a given underlying parameter, so that component risks may be treated in isolation, and the portfolio rebalanced accordingly to achieve a desired exposure; see for example delta hedging.

The Greeks in the Black–Scholes model are relatively easy to calculate, a desirable property of financial models, and are very useful for derivatives traders, especially those who seek to hedge their portfolios from adverse changes in market conditions. For this reason, those Greeks which are particularly useful for hedging—such as delta, theta, and vega—are well-defined for measuring changes in Price, Time and Volatility. Although rho is a primary input into the Black–Scholes model, the overall impact on the value of an option corresponding to changes in the risk-free interest rate is generally insignificant and therefore higher-order derivatives involving the risk-free interest rate are not common.

Gamma (store)

Gamma is a Dutch Hardware store-chain. It started in May 11, 1978 in Breda. The headquarters of the franchise-organisation Intergamma is located in Leusden and as of 2011 it has 245 stores, of which 164 are located in the Netherlands and 81 in Belgium. Intergamma also owns the Hardware store-chain Karwei.

History

In 2008 Gamma had a revenue of 606 million euro.

Gamma commercials have been broadcast in the Netherlands on radio and television since 1994, and have made the actors John Buijsman and Martin van Waardenberg well known in the Netherlands. In Flanders Luk Wyns is the face of the company.

External links

References

Gamma (disambiguation)

Gamma is the third letter of the Greek alphabet.

Gamma may also refer to:

Science and mathematics

General

Lower case, γ

Paddy

Paddy may refer to:

People

Birds

Entertainment

See also

Rice

Rice is the seed of the grass species Oryza sativa (Asian rice) or Oryza glaberrima (African rice). As a cereal grain, it is the most widely consumed staple food for a large part of the world's human population, especially in Asia. It is the agricultural commodity with the third-highest worldwide production, after sugarcane and maize, according to 2012 FAOSTAT data.

Since a large portion of maize crops are grown for purposes other than human consumption, rice is the most important grain with regard to human nutrition and caloric intake, providing more than one-fifth of the calories consumed worldwide by humans.

Wild rice, from which the crop was developed, may have its native range in Australia. Chinese legends attribute the domestication of rice to Shennong, the legendary emperor of China and inventor of Chinese agriculture. Genetic evidence has shown that rice originates from a single domestication 8,200–13,500 years ago in the Pearl River valley region of China. Previously, archaeological evidence had suggested that rice was domesticated in the Yangtze River valley region in China.

Paddy (given name)

Paddy is a diminutive form of the male given names Patrick, Padraig, Padraic and variant forms.

Notable people known as Paddy