Skip to content
Start learning
1492 terms

Glossary

Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.

Showing 1 term

Volatility crush

Derivatives
Also called: IV crush

The collapse in an option’s premium after a scheduled event, as the expected volatility the price was carrying resolves into a known outcome.

In plain terms

It is why you can be right about the direction of the underlying and still lose on the option. The input that moved is not visible anywhere on the premium chart.

Read the full lesson →
Indian stock market glossary · Market Vidyalaya