← Options Glossary

Beta Weight

Beta-weighting is a technique used to convert deltas from different financial instruments (stocks, options, etc...) into standard units. One purpose of beta-weighting is to allow for the a standardized approach to risk management of positions and portfolios. Click here to learn more.

This is a definition, not a recommendation. Options carry risk and can expire worthless. See how the desk actually trades at TrueTrader.