We found 11 online brokers that are appropriate for Trading Delta Hedging.
Delta hedging focuses on reducing the directional risk that is related to the movement of price in the underlying asset. It is options trading and used to offset risk either the entire portfolio or a particular single option holding.
Reducing directional risk reciprocates in isolating volatility changes, but note that trading costs are incurred.
The ratio of options contract price change and corresponding movement of the value of underlying asset is called Delta. Let's say the delta of ABC shares' option is 0.45 and like market price rise of the underlying asset is by $1 per share. Here, the option value rises by $0.45 a share.
Delta hedging is helpful in hedging adverse price change risk.
It helps in protecting profits in the short-term with no need to unwind long-term holding.
Traders can benefit if a strong move is anticipated but the risk of over hedging also persists.
In delta hedging the number of transactions increases and it becomes costly.
Sometimes traders even over hedge.
It involves constant watching as well as adjustment of positions.
Suppose a trader owns one put option on General Motors and the stock starts declining.
Here, he finds profit on the put option. Later, the price rises and the trader believes it to be of short-term event.
He thereafter expects the stocks to decline again. A delta hedge helps him in protecting the gains.
100 shares mean one option and the company's stock has a delta of -0.75. The trader buys 75 shares to establish a neutral position.
The value of each share is $10 and he invests $7,500. After the rise event, when the price again starts falling, he will remove the hedge.
When the portfolio value does not reciprocate to the minor changes in the value of the underlying asset is known as delta neutral.
In other words, the strategy is implemented to profit from time decay or implied volatility of the options.
It is a key variable that is related to the price model and mainly professional option sellers make use of it by determining how to price the options.
Delta calculation is done in real-time but with the help of a computer.
Hedging adverse price change risk is possible with delta hedging. The portfolio is protected in short-term and traders usually benefit by anticipating strong market movements.
One of the key points to raise here is that sometimes delta hedging results with over hedging.
We have conducted extensive research and analysis on over multiple data points on Delta Hedging to present you with a comprehensive guide that can help you find the most suitable Delta Hedging. Below we shortlist what we think are the best Delta Hedging brokers after careful consideration and evaluation. We hope this list will assist you in making an informed decision when researching Delta Hedging.
Selecting a reliable and reputable online Delta Hedging trading brokerage involves assessing their track record, regulatory status, customer support, processing times, international presence, and language capabilities. Considering these factors, you can make an informed decision and trade Delta Hedging more confidently.
Selecting the right online Delta Hedging trading brokerage requires careful consideration of several critical factors. Here are some essential points to keep in mind:
Our team have listed brokers that match your criteria for you below. All brokerage data has been summarised into a comparison table. Scroll down.
When choosing a broker for Delta Hedging trading, it's essential to compare the different options available to you. Our Delta Hedging brokerage comparison table below allows you to compare several important features side by side, making it easier to make an informed choice.
By comparing these essential features, you can choose a Delta Hedging broker that best suits your needs and preferences for Delta Hedging. Our Delta Hedging broker comparison table simplifies the process, allowing you to make a more informed decision.
Here are the top Delta Hedging Brokers.
Compare Delta Hedging brokers for min deposits, funding, used by, benefits, account types, platforms, and support levels. When searching for a Delta Hedging broker, it's crucial to compare several factors to choose the right one for your Delta Hedging needs. Our comparison tool allows you to compare the essential features side by side.
All brokers below are Delta Hedging brokers. Learn more about what they offer below.
You can scroll left and right on the comparison table below to see more Delta Hedging brokers that accept Delta Hedging clients.
Broker | IC Markets | Roboforex | XTB | XM | Pepperstone | AvaTrade | FP Markets | NordFX | EasyMarkets | SpreadEx | FXPro |
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Regulation | Australian Securities and Investments Commission (ASIC), Financial Services Authority (FSA), Cyprus Securities and Exchange Commission (CySEC) | RoboForex Ltd is regulated by the FSC, license 000138/437, reg. number 128.572. RoboForex Ltd, which is an (A category) member of The Financial Commission, also is a participant of its Compensation Fund | FCA (Financial Conduct Authority reference 522157), CySEC (Cyprus Securities and Exchange Commission reference 169/12), FSCA (Financial Sector Conduct Authority), XTB AFRICA (PTY) LTD licensed to operate in South Africa, KPWiG (Polish Securities and Exchange Commission), DFSA (Dubai Financial Services Authority), DIFC (Dubai International Financial Center), CNMV (Comisión Nacional del Mercado de Valores), KNF (Komisja Nadzoru Finansowego), IFSC (Belize International Financial Services Commission license number IFSC/60/413/TS/19) | Financial Services Commission (FSC), Cyprus Securities and Exchange Commission (CySEC), Australian Securities and Investments Commission (ASIC) | Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC), Cyprus Securities and Exchange Commission (CySEC), Federal Financial Supervisory Authority (BaFin), Dubai Financial Services Authority (DFSA), Capital Markets Authority of Kenya (CMA), Pepperstone Markets Limited is incorporated in The Bahamas (number 177174 B), Licensed by the Securities Commission of the Bahamas (SCB) number SIA-F217 | Australian Securities and Investments Commission (ASIC), ASIC (406684), Financial Services Authority (FSA), South African Financial Sector Conduct Authority (FSCA), Financial Stability Board (FSB), The Financial Services Agency (JAPAN FSA), Financial Futures Association of Japan (FFAJ), Abu Dhabi Global Markets (ADGM), Financial Regulatory Services Authority (FRSA), Polish Financial Supervision Authority (KNF), Israel Securities Association (ISA), British Virgin Islands Financial Services Commission (BVI), BVI (SIBA/L/13/1049), Central Bank of Ireland | Australian Securities and Investments Commission (ASIC), Cyprus Securities and Exchange Commission (CySEC), FSCA (FSP Number 50926), Capital Markets Authority (CMA), Securities Commission of the Bahamas (SCB) | Cyprus Securities and Exchange Commission (CySEC), License No: 209/13, VFSC registration number 15008 | Cyprus Securities and Exchange Commission (CySEC), Australian Securities and Investments Commission (ASIC), Financial Services Authority (FSA), British Virgin Islands Financial Services Commission (BVI) | Financial Conduct Authority (FCA) | Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), Financial Sector Conduct Authority (FSCA), Securities Commission of the Bahamas (SCB) |
Min Deposit | 200 | 10 | No minimum deposit | 5 | 200 | 100 | 100 | 1 | 100 | 1 | 100 |
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Used By | 180,000+ | 1,000,000+ | 1,000,000+ | 10,000,000+ | 400,000+ | 300,000+ | 10,000+ | 10,000+ | 142,500+ | 10,000+ | 1,866,000+ |
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Platforms | MT4, MT5, Mirror Trader, Web Trader, cTrader, Windows, Mac, iOS, Android | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | MT4, Mirror Trader, Web Trader, Tablet & Mobile apps | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | MT4, MT5, TradingView, DupliTrade, myFXbook, Mac, Web Trader, cTrader, Tablet & Mobile apps | Web Trader, MT4, MT5, AvaTradeGo, AvaOptions, DupliTrade, ZuluTrade, Mobile Apps, ZuluTrade, DupliTrade, MQL5 | MT4, MT5, cTrader, IRESS, Mac, Web Trader, Tablet & Mobile apps | MT4, MT5, Tablet & Mobile apps | MT4, MT5, Web Trader, TradingView, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | MT4, MT5, cTrader, Tablet & Mobile apps |
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Learn More |
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Up with icmarkets |
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Up with roboforex |
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Up with xtb |
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Up with xm |
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Up with pepperstone |
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Up with avatrade |
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Up with fpmarkets |
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Up with nordfx |
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Up with easymarkets |
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Up with spreadex |
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Up with fxpro |
Risk Warning | Losses can exceed deposits | Losses can exceed deposits | 76-85% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. | CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.89% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. | 74-89 % of retail investor accounts lose money when trading CFDs | 71% of retail investor accounts lose money when trading CFDs with this provider | Losses can exceed deposits | Losses can exceed deposits | Your capital is at risk | Losses can exceed deposits | 75.78% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider |
Demo |
IC Markets Demo |
Roboforex Demo |
XTB Demo |
XM Demo |
Pepperstone Demo |
AvaTrade Demo |
FP Markets Demo |
NordFX Demo |
easyMarkets Demo |
SpreadEx Demo |
FxPro Demo |
Excluded Countries | US, IR, CA, NZ, JP | AU, BE, BQ, BR, CA, CW, CZ, DE, ES, EE, EU, FM, FR, FI, GW, ID, IR, JP, LR, MP, NL, PF, PL, RU, SE, SJ, SS, SL, SI, TL, TR, DO, US, IT, AT, PT, BG, HR, CY, DK, FL, GR, IE, LV, LT, MT, RO, SK, CH | US, IN, PK, BD, NG , ID, BE, AU | US, CA, IL, IR | AF, AS, AQ, AM, AZ, BY, BE, BZ, BT, BA, BI, CM, CA, CF, TD, CG, CI, ER, GF, PF, GP, GU, GN, GW, GY, HT, VA, IR, IQ, JP, KZ, LB, LR, LY, ML, MQ, YT, MZ, MM, NZ, NI, KP, PS, PR, RE, KN, LC, VC, WS, SO, GS, KR, SS, SD, SR, SY, TJ, TN, TM, TC, US, VU, VG, EH, ES, YE, ZW, ET | BE, BR, KP, NZ, TR, US, CA, SG | US, JP, NZ | US, CA, EU, RU, SY, KP, CU | US, IL, BC, MB, QC, ON, AF, BY, BI, KH, KY, TD, KM, CG, CU, CD, GQ, ER, FJ, GN, GW, HT, IR, IQ, LA, LY, MZ, MM, NI, KP, PW, PA, RU, SO, SS, SD, SY, TT, TM, VU, VE, YE | US, TR | US, CA, IR |
You can compare Delta Hedging Brokers ratings, min deposits what the the broker offers, funding methods, platforms, spread types, customer support options, regulation and account types side by side.
We also have an indepth Top Delta Hedging Brokers for 2024 article further below. You can see it now by clicking here
We have listed top Delta Hedging brokers below.