Correlation Convergence
Meaning ⎊ The tendency for asset correlations to increase toward one during market crashes, reducing the effectiveness of hedging.
Risk Factor Sensitivity
Meaning ⎊ A measure of how much a portfolio's value fluctuates due to changes in specific variables like price or volatility.
Option Expiry Volatility
Meaning ⎊ The rise in market volatility as a large number of option contracts approach their expiration date.
Greeks Pricing Sensitivity
Meaning ⎊ Greeks provide the essential mathematical framework for quantifying and managing exposure to market variables in decentralized derivative portfolios.
