Intrinsic value calculator for index options
Every option premium has two parts: intrinsic value (what it's worth right now if exercised) and time value (the extra you pay for time left until expiry). Enter the numbers to see the split.
Your numbers
The split
Enter the index level, strike price and premium to see the result.
- Intrinsic value
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- Time value
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- Intrinsic value per lot
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- Time value per lot
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- Break-even at expiry
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How fast will the time value melt?
| Days left | Time value left | Option worth | Lost since today |
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An approximate guide, not an exact price. It assumes the index and volatility stay where they are, and uses the common rule of thumb that time value shrinks roughly with the square root of the time left. Real prices also move with volatility and demand.
For learning only. This shows simple option maths based on the numbers you enter. It doesn't include brokerage, taxes or slippage, and option prices also move with volatility and time. Not investment advice or a recommendation to buy or sell any option.
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