This chapter illustrates the selected issues connected with the covered call strategy: the strategy design, the impact of certain variables (the price of the underlying asset and time to expiration (maturity) on the performance of the values of the ratios delta, gamma, vega, theta, and rho....

Based on a dynamic panel data analysis of South-Eastern European (SEE) banks over 10-year period, this paper explores risk-taking implications of changes in capital buffers. Its findings support the capital buffer theory. Firstly, banks increase their asset riskiness within the capital buffers...