What does a Delta of 0.2 mean?
Could you please clarify for me what exactly does a Delta of 0.2 signify in the context of cryptocurrency trading or finance? I understand that Delta measures the sensitivity of an option's price to changes in the underlying asset, but how does a specific value like 0.2 translate into practical terms and implications for traders and investors? I'm particularly interested in understanding how this information might impact decision-making and risk management strategies.
Is 0.2 a good Sharpe ratio?
Could you please elaborate on why you're asking if 0.2 is a good Sharpe ratio? It's important to consider the context and industry standards when evaluating a Sharpe ratio. For example, in the cryptocurrency space, a Sharpe ratio of 0.2 might be considered relatively high due to the high volatility and risk associated with these assets. However, in more traditional asset classes like stocks or bonds, a ratio of 0.2 might be considered low, indicating that the investment's risk-adjusted return is not particularly impressive. Can you provide more context around your investment goals and risk tolerance to help me give a more accurate answer?