# Delta in Covered Calls?

Just want to check whether i understand it correctly:

Long Calls have positive delta

Long Puts have negative Delta

Long stock has 0.01 delta

100 Shares have 1 delta

Therefore: Covered Call = 1 minus delta of Call option.

Is this correct?

• Essentially yes, but I would go with a 1 delta for each stock and if the option is written on 100 underlying shares then you adjust accordingly. Most options, taking all markets into account, are not written on 100 units of underlying. – Matthias Wolf Sep 23 '13 at 5:40
• yes, think of a buy/write as a short put (they're the same thing except for stock rate risks) – user2183336 Sep 27 '13 at 16:11