How are AVNM butterfly max profit and max loss calculated?

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the AVNM butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 16.00%), the computed maximum profit is $196.65 per contract and the computed maximum loss is -$288.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a AVNM butterfly?

The breakeven for the AVNM butterfly priced on this page is roughly $82.88 and $87.12 at expiration, derived from the August 14, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The AVNM market-implied 1-standard-deviation expected move in the same options snapshot is approximately 4.59%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current AVNM implied volatility affect this butterfly?

AVNM ATM IV is at 16.00% with IV rank near 0.06%, 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.

AVNM Butterfly Strategy

AVNM (Avantis All International Markets Equity ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.

AVNM is designed to provide investors with low-cost, tax-efficient, and diversified international equity exposure. Its portfolio consists of other select Avantis exchange-traded funds that invest in global companies of all market capitalizations outside the US. The fund focuses on securities with higher expected returns or those with better risk characteristics than a passive, market cap-weighted index. It follows specific targets weights for both emerging and non-US developed markets in a 30/70 ratio with a 10%-15% range difference. Since the fund is actively managed, decisions regarding the funds allocations, including geographies, investment styles, and changes within the target ranges are solely at the discretion of the manager. The fund may also undergo regular reviews to identify necessary rebalancing.

AVNM (Avantis All International Markets Equity ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $692.2M, a beta of 0.81 versus the broader market, a 52-week range of 67.37-85.48, average daily share volume of 57K, a public-listing history dating back to 2023, approximately 5K full-time employees. These structural characteristics shape how AVNM etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.81 places AVNM roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. AVNM pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on AVNM?

A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.

AVNM snapshot

As of August 14, 2026, spot at $85.27, ATM IV 16.00%, IV rank 0.06%, expected move 4.59%. The butterfly on AVNM below is built from the August 14, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.

Why this butterfly structure on AVNM specifically: AVNM IV at 16.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a AVNM butterfly, with a market-implied 1-standard-deviation move of approximately 4.59% (roughly $3.91 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated AVNM expiries trade a higher absolute premium for lower per-day decay. Position sizing on AVNM should anchor to the underlying notional of $85.27 per share and to the trader's directional view on AVNM etf.

AVNM butterfly setup

The AVNM butterfly below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With AVNM at $85.27 on that close, the first option leg uses a $81.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AVNM chain at a 35-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 AVNM shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$81.00	$4.85
Sell 2	Call	$85.00	$1.60
Buy 1	Call	$90.00	$0.23

AVNM butterfly risk and reward

Net Premium / Debit: -$188.00
Max Profit (per contract): $196.65
Max Loss (per contract): -$288.00
Breakeven(s): $82.88, $87.12
Risk / Reward Ratio: 0.683

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.

AVNM butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on AVNM. 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%	-$188.00
$18.86	-77.9%	-$188.00
$37.72	-55.8%	-$188.00
$56.57	-33.7%	-$188.00
$75.42	-11.6%	-$188.00
$94.27	+10.6%	-$288.00
$113.13	+32.7%	-$288.00
$131.98	+54.8%	-$288.00
$150.83	+76.9%	-$288.00
$169.68	+99.0%	-$288.00

When traders use butterfly on AVNM

Butterflies on AVNM are pinning bets - traders use them when they expect AVNM to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.

AVNM thesis for this butterfly

The market-implied 1-standard-deviation range for AVNM extends from approximately $81.36 on the downside to $89.18 on the upside. A AVNM long call butterfly is a pinning play: it pays maximum at the middle strike if AVNM settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current AVNM IV rank near 0.06% 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 AVNM at 16.00%. As a Financial Services name, AVNM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AVNM-specific events.

AVNM butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. AVNM positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AVNM alongside the broader basket even when AVNM-specific fundamentals are unchanged. Always rebuild the position from current AVNM chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on AVNM?: A butterfly on AVNM is the butterfly strategy applied to AVNM (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With AVNM etf at $85.27 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed AVNM chain strike and the premiums come straight from that session's bid/ask midpoint.
How are AVNM butterfly max profit and max loss calculated?: Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the AVNM butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 16.00%), the computed maximum profit is $196.65 per contract and the computed maximum loss is -$288.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a AVNM butterfly?: The breakeven for the AVNM butterfly priced on this page is roughly $82.88 and $87.12 at expiration, derived from the August 14, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The AVNM market-implied 1-standard-deviation expected move in the same options snapshot is approximately 4.59%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on AVNM?: Butterflies on AVNM are pinning bets - traders use them when they expect AVNM to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
How does current AVNM implied volatility affect this butterfly?: AVNM ATM IV is at 16.00% with IV rank near 0.06%, 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.