Omega(redirected from Omega (letter))
Also found in: Dictionary, Thesaurus, Medical, Encyclopedia.
A measure of the change in price of an option relative to a percentage change in the price of the underlying asset. For example, if an option contract has an omega of 3.5, its price increases 3.5% for every 1% of change in the price of the underlying. Omega is also known as speed. It is calculated as a derivative of the option's gamma. See also: Delta, Volatility.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved