Options / Greeks

Vega

Definition

Measures an option’s sensitivity to changes in implied volatility. Positive for long options; higher for longer-dated options.

Example
A vega of 0.15 means the option price rises $0.15 if IV increases 1%. Rho Category: Options / Greeks Definition: The rate of change in an option’s price relative to a 1% change in the risk-free interest rate. More significan
Frequently Asked Question
What is Vega in trading?
Measures an option’s sensitivity to changes in implied volatility. Positive for long options; higher for longer-dated options.
APA Citation
Clark, R. (2025). Vega. VixShield Trading Glossary. Retrieved from https://www.vixshield.com/glossary/vega
RC
Russell Clark, FNP-C
Author of SPX Mastery series · Founder of VixShield
Last updated:  ·  Source: VixShield Trading Glossary — From SPX Mastery by Russell Clark
⚠️ Not financial advice. This definition is educational content from the SPX Mastery book series by Russell Clark (VixShield). Past performance is not indicative of future results. Trading options involves substantial risk of loss and is not appropriate for all investors. Always paper trade before risking real capital.
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