AIVL Long Put Strategy
AIVL (WisdomTree U.S. AI Enhanced Value Fund), in the Financial Services sector, (Asset Management industry), listed on AMEX.
The fund is actively managed and seeks to invest primarily in equity securities selected from a universe of U.S. equities that exhibit value characteristics based on the selection results of a proprietary, quantitative AI model developed by Sub-Adviser. It will normally invest at least 80% of its net assets in securities of companies that are organized in the U.S., maintain a principal place of business in the U.S., or are traded principally on a U.S. exchange. The fund is non-diversified.
AIVL (WisdomTree U.S. AI Enhanced Value Fund) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $396.5M, a beta of 0.82 versus the broader market, a 52-week range of 108.25-124.45, average daily share volume of 2K, a public-listing history dating back to 2006. These structural characteristics shape how AIVL etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.82 places AIVL roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. AIVL pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a long put on AIVL?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current AIVL snapshot
As of May 15, 2026, spot at $122.28, ATM IV 13.90%, IV rank 20.45%, expected move 3.99%. The long put on AIVL 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 34-day expiry.
Why this long put structure on AIVL specifically: AIVL IV at 13.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a AIVL long put, with a market-implied 1-standard-deviation move of approximately 3.99% (roughly $4.87 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated AIVL expiries trade a higher absolute premium for lower per-day decay. Position sizing on AIVL should anchor to the underlying notional of $122.28 per share and to the trader's directional view on AIVL etf.
AIVL long put setup
The AIVL long 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 AIVL near $122.28, the first option leg uses a $122.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AIVL chain at a 34-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 AIVL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $122.00 | $1.40 |
AIVL long put risk and reward
- Net Premium / Debit
- -$140.00
- Max Profit (per contract)
- $12,059.00
- Max Loss (per contract)
- -$140.00
- Breakeven(s)
- $120.60
- Risk / Reward Ratio
- 86.136
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
AIVL long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on AIVL. 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.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -100.0% | +$12,059.00 |
| $27.05 | -77.9% | +$9,355.43 |
| $54.08 | -55.8% | +$6,651.86 |
| $81.12 | -33.7% | +$3,948.30 |
| $108.15 | -11.6% | +$1,244.73 |
| $135.19 | +10.6% | -$140.00 |
| $162.22 | +32.7% | -$140.00 |
| $189.26 | +54.8% | -$140.00 |
| $216.30 | +76.9% | -$140.00 |
| $243.33 | +99.0% | -$140.00 |
When traders use long put on AIVL
Long puts on AIVL hedge an existing long AIVL etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying AIVL exposure being hedged.
AIVL thesis for this long put
The market-implied 1-standard-deviation range for AIVL extends from approximately $117.41 on the downside to $127.15 on the upside. A AIVL long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long AIVL position with one put per 100 shares held. Current AIVL IV rank near 20.45% 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 AIVL at 13.90%. As a Financial Services name, AIVL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AIVL-specific events.
AIVL long put positions are structurally bearish; 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. AIVL positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AIVL alongside the broader basket even when AIVL-specific fundamentals are unchanged. Long-premium structures like a long put on AIVL are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current AIVL chain quotes before placing a trade.
Frequently asked questions
- What is a long put on AIVL?
- A long put on AIVL is the long put strategy applied to AIVL (etf). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With AIVL etf trading near $122.28, the strikes shown on this page are snapped to the nearest listed AIVL chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are AIVL long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the AIVL long put priced from the end-of-day chain at a 30-day expiry (ATM IV 13.90%), the computed maximum profit is $12,059.00 per contract and the computed maximum loss is -$140.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a AIVL long put?
- The breakeven for the AIVL long put priced on this page is roughly $120.60 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 AIVL market-implied 1-standard-deviation expected move is approximately 3.99%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on AIVL?
- Long puts on AIVL hedge an existing long AIVL etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying AIVL exposure being hedged.
- How does current AIVL implied volatility affect this long put?
- AIVL ATM IV is at 13.90% with IV rank near 20.45%, 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.