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Options in Elevated Volatility Regimes

Options in Elevated Volatility Regimes

Aired On

Apr / 07 / 2026 - 2:00 pm - ET

Mathew Cashman
OCC , The Options Industry Council (OIC)

Elevated volatility can change how options behave. Time compresses, Greeks accelerate, and identical price moves can produce very different outcomes depending on option duration. This session focuses on understanding why options feel different in volatile markets, and how to frame risk when volatility and time dominate pricing.

Through clear visuals and practical examples, the presentation examines how shorter-dated options and daily expirations have concentrated sensitivity near expiration. Attendees will explore how gamma, vega, delta, and theta evolve as time runs out, and why at-the-money options become increasingly reactive during volatile periods.

The goal is not trade selection, but risk awareness. Participants leave with a stronger framework for interpreting option behavior and managing expectations when markets move fast.

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This material is from OCC and is being posted with its permission. The views expressed in this material are solely those of the author and/or OCC and Interactive Brokers is not endorsing or recommending any investment or trading discussed in the material. This material is not and should not be construed as an offer to buy or sell any security. It should not be construed as research or investment advice or a recommendation to buy, sell or hold any security or commodity. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

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