3 ms·
theta will eat away any profit for such long dated options
by ShivShankaran 5y ago
theta will eat away any profit for such long dated options
- benmanns 5y agoThat doesn't change what the quoted pricing predicts. Theta means it's not free to make the bet. Also, with spreads like this, usually your short theta mostly cancels out your long theta, so it's not as expensive as you might think.