I have some call options that are in the money and I'm trying to work out the calculation the platform uses to calculate absolute exposure.
Open = 3.55
Close = 5.35
contracts = 8
They arrive at absolute exposure = $70k (roughly).
My calculations give:
Net spend = $2840
Notional value = market price of underlying X # contracts X multiplier (i.e. 100)
However this gives me a figure that is much higher than $70k
I've also considered using # contracts X strike X multiplier but again it's way to high a figure.