Vega ladder
Definition · Level 5 · Greeks & volatility
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A table of a book’s vega by expiry (nominal, then weighted). It shows where the volatility risk sits and whether the book is net long or short once the expiries are weighted.
Example
30 days −$2,000, 90 days +$1,500, 1 year +$2,500.
Where Tradecraft teaches it
Level 5 · Greeks & volatility, in the lesson “Vega by expiry and weighted vega”: Why summing vega across expiries misleads, and how weighting by √time fixes it.
Related terms
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