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The distinction between C’ and C” results in a hedging error. the dimensions from the error is determined by the curvature of the connection amongst the choice price plus the inventory cost (which is recognized as Gamma).
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If the gamma is small, delta changes little by little, and adjustments to keep a portfolio delta neutral need to be created only relatively infrequently. having said that if Gamma is highly detrimental or hugely favourable, delta is incredibly sensitive to the cost of the fundamental asset.
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