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Glossary   >   L   >   "Lambda" Definition            Lambda The ratio of a change in the option price to a small change in the option volatility. It is the partial derivative of the option price with respect to the option volatility. Glossary    Dictionary Search (powered by Google) WWW ITLOCUS.COM GLOSSARY.ITLOCUS.COM Translate a web page (powered by Google)      to German Spanish French Italian Portuguese Japanese Korean Chinese

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Lambda \ The ratio of a change in the option price to a small change in the option volatility. It is the partial derivative of the option price with respect to the option volatility.