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Options have higher volatility. This is not a mystery and doesn't mean EV is 0.
by hgsgm 3y ago
Options have higher volatility. This is not a mystery and doesn't mean EV is 0.
- singron 3y agoYou can lose money in options, which means the EV can be negative. E.g. you leave the company and are forced to exercise or abandon the options. If you exercise, the company can stay private until you die or liquidate at less than what you paid.