# blslambda

Black-Scholes elasticity

## Syntax

## Description

`[`

returns the elasticity of an option. `CallEl`

,`PutEl`

] = blslambda(`Price`

,`Strike`

,`Rate`

,`Time`

,`Volatility`

)`CallEl`

is the call option
elasticity or leverage factor, and `PutEl`

is the put option
elasticity or leverage factor. Elasticity (the leverage of an option position)
measures the percent change in an option price per 1 percent change in the
underlying asset price. `blslambda`

uses `normcdf`

, the normal cumulative distribution function in the
Statistics and Machine Learning Toolbox™.

In addition, you can use the Financial Instruments Toolbox™ object framework with the `BlackScholes`

(Financial Instruments Toolbox) pricer object to obtain price and
`lambda`

values for a `Vanilla`

,
`Barrier`

, `Touch`

,
`DoubleTouch`

, or `Binary`

instrument using a
`BlackScholes`

model.

**Note**

`blslambda`

can handle other types of underlies like
Futures and Currencies. When pricing Futures (Black model), enter the input
argument `Yield`

as:

Yield = Rate

`Yield`

as:Yield = ForeignRate

`ForeignRate`

is the continuously compounded,
annualized risk-free interest rate in the foreign country.

## Examples

## Input Arguments

## Output Arguments

## References

[1] Daigler, R. *Advanced Options Trading.* McGraw-Hill,
1993.

## Version History

**Introduced in R2006a**