Thank you jcl!
I'm just trying to get my head around using the beta weight of a portfolio to produce the profit/loss graph based on the price (or percentage change) of the S&P500 (with the assumption that all the option contracts in the portfolio were to expire on that very same day, to therefore assess how balanced the current state of the portfolio is). This would be an ideal way to therefore decide whether to enter a neutral, bullish or bearish trade, to therefore keep an overall balanced trading portfolio.
Ideally, there could be a function/formula that can be used to calculate the current profit/loss of a portfolio based on the percentage change in S&P500. This itself has not been an easy thing to find, but is a tool provided by several trading platforms.
To get a better idea of what I am talking about:https://youtu.be/A-nTVuOaAjo?t=7m59s
- Shows the graph in the ThinkorSwim platform https://www.interactivebrokers.com/en/so...etapnlgraph.htm
- Shows the graph in the Interactive brokers platform
This tool may be a handy feature/function in the next Zorro update.