BOIL Long Put Strategy
BOIL (ProShares - Ultra Bloomberg Natural Gas), in the Financial Services sector, (Asset Management industry), listed on AMEX.
ProShares Ultra Bloomberg Natural Gas seeks daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Natural Gas SubindexSM
BOIL (ProShares - Ultra Bloomberg Natural Gas) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $328.9M, a beta of 4.26 versus the broader market, a 52-week range of 12.07-63.68, average daily share volume of 11.9M, a public-listing history dating back to 2011. These structural characteristics shape how BOIL etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 4.26 indicates BOIL has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a long put on BOIL?
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 BOIL snapshot
As of May 15, 2026, spot at $13.68, ATM IV 86.77%, IV rank 12.62%, expected move 24.88%. The long put on BOIL 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 28-day expiry.
Why this long put structure on BOIL specifically: BOIL IV at 86.77% is on the cheap side of its 1-year range, which favors premium-buying structures like a BOIL long put, with a market-implied 1-standard-deviation move of approximately 24.88% (roughly $3.40 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated BOIL expiries trade a higher absolute premium for lower per-day decay. Position sizing on BOIL should anchor to the underlying notional of $13.68 per share and to the trader's directional view on BOIL etf.
BOIL long put setup
The BOIL 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 BOIL near $13.68, the first option leg uses a $13.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed BOIL chain at a 28-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 BOIL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $13.50 | $1.20 |
BOIL long put risk and reward
- Net Premium / Debit
- -$119.50
- Max Profit (per contract)
- $1,229.50
- Max Loss (per contract)
- -$119.50
- Breakeven(s)
- $12.31
- Risk / Reward Ratio
- 10.289
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
BOIL long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on BOIL. 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 | -99.9% | +$1,229.50 |
| $3.03 | -77.8% | +$927.14 |
| $6.06 | -55.7% | +$624.78 |
| $9.08 | -33.6% | +$322.41 |
| $12.10 | -11.5% | +$20.05 |
| $15.13 | +10.6% | -$119.50 |
| $18.15 | +32.7% | -$119.50 |
| $21.18 | +54.8% | -$119.50 |
| $24.20 | +76.9% | -$119.50 |
| $27.22 | +99.0% | -$119.50 |
When traders use long put on BOIL
Long puts on BOIL hedge an existing long BOIL etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying BOIL exposure being hedged.
BOIL thesis for this long put
The market-implied 1-standard-deviation range for BOIL extends from approximately $10.28 on the downside to $17.08 on the upside. A BOIL long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long BOIL position with one put per 100 shares held. Current BOIL IV rank near 12.62% 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 BOIL at 86.77%. As a Financial Services name, BOIL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to BOIL-specific events.
BOIL 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. BOIL positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move BOIL alongside the broader basket even when BOIL-specific fundamentals are unchanged. Long-premium structures like a long put on BOIL 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 BOIL chain quotes before placing a trade.
Frequently asked questions
- What is a long put on BOIL?
- A long put on BOIL is the long put strategy applied to BOIL (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 BOIL etf trading near $13.68, the strikes shown on this page are snapped to the nearest listed BOIL chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are BOIL 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 BOIL long put priced from the end-of-day chain at a 30-day expiry (ATM IV 86.77%), the computed maximum profit is $1,229.50 per contract and the computed maximum loss is -$119.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a BOIL long put?
- The breakeven for the BOIL long put priced on this page is roughly $12.31 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 BOIL market-implied 1-standard-deviation expected move is approximately 24.88%; 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 BOIL?
- Long puts on BOIL hedge an existing long BOIL etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying BOIL exposure being hedged.
- How does current BOIL implied volatility affect this long put?
- BOIL ATM IV is at 86.77% with IV rank near 12.62%, 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.