COPJ Cash-Secured Put Strategy
COPJ (Sprott Junior Copper Miners ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The fund will, under normal circumstances, invest at least 80% of its total assets in securities of the index. The index is designed to track the performance of companies that derive at least 50% of their revenue and/or assets from mining, exploration, development, and production of copper. The index generally consists of from 25 to 45 constituents. The fund is non-diversified.
COPJ (Sprott Junior Copper Miners ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $26.6M, a beta of 1.36 versus the broader market, a 52-week range of 19.7-53.945, average daily share volume of 145K, a public-listing history dating back to 2023. These structural characteristics shape how COPJ etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.36 indicates COPJ has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. COPJ 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 COPJ?
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 COPJ snapshot
As of May 15, 2026, spot at $42.76, ATM IV 50.70%, expected move 14.54%. The cash-secured put on COPJ 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 cash-secured put structure on COPJ specifically: IV rank is unavailable in the current snapshot, so regime-based timing for COPJ is inferred from ATM IV at 50.70% alone, with a market-implied 1-standard-deviation move of approximately 14.54% (roughly $6.22 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 COPJ expiries trade a higher absolute premium for lower per-day decay. Position sizing on COPJ should anchor to the underlying notional of $42.76 per share and to the trader's directional view on COPJ etf.
COPJ cash-secured put setup
The COPJ 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 COPJ near $42.76, the first option leg uses a $41.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed COPJ 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 COPJ shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $41.00 | $1.58 |
COPJ cash-secured put risk and reward
- Net Premium / Debit
- +$157.50
- Max Profit (per contract)
- $157.50
- Max Loss (per contract)
- -$3,941.50
- Breakeven(s)
- $39.43
- Risk / Reward Ratio
- 0.040
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
COPJ cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on COPJ. 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% | -$3,941.50 |
| $9.46 | -77.9% | -$2,996.16 |
| $18.92 | -55.8% | -$2,050.83 |
| $28.37 | -33.7% | -$1,105.49 |
| $37.82 | -11.5% | -$160.15 |
| $47.28 | +10.6% | +$157.50 |
| $56.73 | +32.7% | +$157.50 |
| $66.18 | +54.8% | +$157.50 |
| $75.64 | +76.9% | +$157.50 |
| $85.09 | +99.0% | +$157.50 |
When traders use cash-secured put on COPJ
Cash-secured puts on COPJ earn premium while a trader waits to acquire COPJ etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning COPJ.
COPJ thesis for this cash-secured put
The market-implied 1-standard-deviation range for COPJ extends from approximately $36.54 on the downside to $48.98 on the upside. A COPJ cash-secured put lets a trader earn premium while waiting to acquire COPJ 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. As a Financial Services name, COPJ options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to COPJ-specific events.
COPJ 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. COPJ positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move COPJ alongside the broader basket even when COPJ-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on COPJ carry tail risk when realized volatility exceeds the implied move; review historical COPJ earnings reactions and macro stress periods before sizing. Always rebuild the position from current COPJ chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on COPJ?
- A cash-secured put on COPJ is the cash-secured put strategy applied to COPJ (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 COPJ etf trading near $42.76, the strikes shown on this page are snapped to the nearest listed COPJ chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are COPJ 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 COPJ cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 50.70%), the computed maximum profit is $157.50 per contract and the computed maximum loss is -$3,941.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a COPJ cash-secured put?
- The breakeven for the COPJ cash-secured put priced on this page is roughly $39.43 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 COPJ market-implied 1-standard-deviation expected move is approximately 14.54%; 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 COPJ?
- Cash-secured puts on COPJ earn premium while a trader waits to acquire COPJ etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning COPJ.
- How does current COPJ implied volatility affect this cash-secured put?
- Current COPJ ATM IV is 50.70%; IV rank context is unavailable in the current snapshot.