How are AIBU cash-secured put max profit and max loss calculated?

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the AIBU cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 57.60%), the computed maximum profit is $160.00 per contract and the computed maximum loss is -$5,839.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a AIBU cash-secured put?

The breakeven for the AIBU cash-secured put priced on this page is roughly $58.40 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current AIBU market-implied 1-standard-deviation expected move is approximately 16.51%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current AIBU implied volatility affect this cash-secured put?

AIBU ATM IV is at 57.60% with IV rank near 21.58%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.

AIBU Cash-Secured Put Strategy

AIBU (Direxion Daily AI and Big Data Bull 2X ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on AMEX.

The Direxion Daily AI and Big Data 2X Shares, offered in both Bull and Bear variants, are designed to track, before any fees or expenses are applied, two times the daily performance of the Solactive US AI & Big Data Index. Specifically, they target either 200% of the index's positive daily movement or 200% of its inverse (opposite) daily fluctuation. Nevertheless, there is no assurance that these funds will successfully achieve their specified financial targets.

AIBU (Direxion Daily AI and Big Data Bull 2X ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $24.9M, a beta of 4.12 versus the broader market, a 52-week range of 32.91-78.96, average daily share volume of 19K, a public-listing history dating back to 2024. These structural characteristics shape how AIBU etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 4.12 indicates AIBU has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. AIBU pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a cash-secured put on AIBU?

A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.

Current AIBU snapshot

As of June 30, 2026, spot at $63.53, ATM IV 57.60%, IV rank 21.58%, expected move 16.51%. The cash-secured put on AIBU below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 17-day expiry.

Why this cash-secured put structure on AIBU specifically: AIBU IV at 57.60% is on the cheap side of its 1-year range, which means a premium-selling AIBU cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 16.51% (roughly $10.49 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated AIBU expiries trade a higher absolute premium for lower per-day decay. Position sizing on AIBU should anchor to the underlying notional of $63.53 per share and to the trader's directional view on AIBU etf.

AIBU cash-secured put setup

The AIBU cash-secured put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With AIBU near $63.53, the first option leg uses a $60.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AIBU chain at a 17-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 AIBU shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Sell 1	Put	$60.00	$1.60

AIBU cash-secured put risk and reward

Net Premium / Debit: +$160.00
Max Profit (per contract): $160.00
Max Loss (per contract): -$5,839.00
Breakeven(s): $58.40
Risk / Reward Ratio: 0.027

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.

AIBU cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on AIBU. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$5,839.00
$14.06	-77.9%	-$4,434.43
$28.10	-55.8%	-$3,029.85
$42.15	-33.7%	-$1,625.28
$56.19	-11.5%	-$220.71
$70.24	+10.6%	+$160.00
$84.28	+32.7%	+$160.00
$98.33	+54.8%	+$160.00
$112.38	+76.9%	+$160.00
$126.42	+99.0%	+$160.00

When traders use cash-secured put on AIBU

Cash-secured puts on AIBU earn premium while a trader waits to acquire AIBU etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning AIBU.

AIBU thesis for this cash-secured put

The market-implied 1-standard-deviation range for AIBU extends from approximately $53.04 on the downside to $74.02 on the upside. A AIBU cash-secured put lets a trader earn premium while waiting to acquire AIBU at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current AIBU IV rank near 21.58% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on AIBU at 57.60%. As a Financial Services name, AIBU options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AIBU-specific events.

AIBU cash-secured put positions are structurally neutral to slightly bullish; the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. AIBU positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AIBU alongside the broader basket even when AIBU-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on AIBU carry tail risk when realized volatility exceeds the implied move; review historical AIBU earnings reactions and macro stress periods before sizing. Always rebuild the position from current AIBU chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on AIBU?: A cash-secured put on AIBU is the cash-secured put strategy applied to AIBU (etf). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With AIBU etf trading near $63.53, the strikes shown on this page are snapped to the nearest listed AIBU chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are AIBU cash-secured put max profit and max loss calculated?: Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the AIBU cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 57.60%), the computed maximum profit is $160.00 per contract and the computed maximum loss is -$5,839.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a AIBU cash-secured put?: The breakeven for the AIBU cash-secured put priced on this page is roughly $58.40 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current AIBU market-implied 1-standard-deviation expected move is approximately 16.51%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a cash-secured put on AIBU?: Cash-secured puts on AIBU earn premium while a trader waits to acquire AIBU etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning AIBU.
How does current AIBU implied volatility affect this cash-secured put?: AIBU ATM IV is at 57.60% with IV rank near 21.58%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.