Q-55. To reduce positive gamma, one needs to sell options. When call options are sold, the delta becomes negative and one needs to buy stock to keep delta neutrality. When put options are sold, the delta becomes positive, and one needs to sell stock to keep delta neutrality.
Exam-Like
A
Buy call options
0.0%
B
Buy put options
50.0%
C
Comments
Loading comments...
Sell put options
D
Sell call options
50.0%
Powered ByGPT-5.2
##### Q-55. To reduce positive gamma, one needs to sell options. When call options are sold, the delta becomes negative and one needs to buy stock to keep delta neutrality. When put options are sold, the delta becomes positive, and one needs to sell stock to keep delta neutrality. | Financial Risk Manager Part 1 Quiz - LeetQuiz