How to Hedge Vega Risk

how to hedge vega risk

Most traders obsess over Delta and Theta, but there’s another Greek that can crush your P&L during volatile markets — and that’s Vega. If you’re an option seller, ignoring Vega could cost you big when volatility spikes. In this article, we’ll cover what Vega risk is, why it matters, and how to hedge it effectively. … Read more