COSW Iron Condor Strategy
COSW (Roundhill COST WeeklyPay ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on CBOE.
The Roundhill COST WeeklyPay ETF (COSW) is designed to offer investors a blend of regular weekly income and moderately enhanced exposure to the weekly price movements of COST stock. It achieves this objective by investing in total return swap agreements and directly in COST common stock, collectively targeting approximately 120% of the underlying stock's calendar week return. This effectively provides 1.2x leveraged exposure to a single company's shares. Shareholders can expect weekly distribution payments. To secure its investments, the fund allocates capital to short-term US Treasurys and money market funds as collateral. Investors should be aware that COSW introduces heightened volatility compared to traditional ETFs.
COSW (Roundhill COST WeeklyPay ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $12.5M, a beta of 0.13 versus the broader market, a 52-week range of 35.9-50.32, average daily share volume of 3K, a public-listing history dating back to 2025. These structural characteristics shape how COSW etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.13 indicates COSW has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. COSW pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on COSW?
An iron condor sells a call spread and a put spread at strikes outside spot, collecting net premium that is kept if the underlying stays inside the inner short strikes.
COSW snapshot
As of November 13, 2026, spot at $44.58. The iron condor on COSW below is built from the November 13, 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 iron condor structure on COSW specifically: IV rank is unavailable in the current snapshot, so regime-based timing for COSW is inferred from ATM IV alone. The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated COSW expiries trade a higher absolute premium for lower per-day decay. Position sizing on COSW should anchor to the underlying notional of $44.58 per share and to the trader's directional view on COSW etf.
COSW iron condor setup
The COSW iron condor below is built from the November 13, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With COSW at $44.58 on that close, the first option leg uses a $47.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed COSW 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 COSW shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $47.00 | $0.45 |
| Buy 1 | Call | $49.00 | $0.18 |
| Sell 1 | Put | $42.00 | $0.70 |
| Buy 1 | Put | $40.00 | $0.25 |
COSW iron condor risk and reward
- Net Premium / Debit
- +$72.00
- Max Profit (per contract)
- $72.00
- Max Loss (per contract)
- -$128.00
- Breakeven(s)
- $41.28, $47.72
- Risk / Reward Ratio
- 0.562
Max profit equals the net credit times 100 inside the inner strikes; max loss equals wing width minus credit times 100. Two breakevens at inner strikes plus and minus the credit.
COSW iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on COSW. 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% | -$128.00 |
| $9.87 | -77.9% | -$128.00 |
| $19.72 | -55.8% | -$128.00 |
| $29.58 | -33.7% | -$128.00 |
| $39.43 | -11.5% | -$128.00 |
| $49.29 | +10.6% | -$128.00 |
| $59.14 | +32.7% | -$128.00 |
| $69.00 | +54.8% | -$128.00 |
| $78.86 | +76.9% | -$128.00 |
| $88.71 | +99.0% | -$128.00 |
When traders use iron condor on COSW
Iron condors on COSW are a delta-neutral premium-collection structure that profits if COSW etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
COSW thesis for this iron condor
A COSW iron condor is a delta-neutral premium-collection structure that pays off when COSW stays inside the inner short strikes through expiration; the wing width should reflect the trader's tolerance for the maximum loss scenario where the underlying breaches an outer strike. As a Financial Services name, COSW options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to COSW-specific events.
COSW iron condor positions are structurally neutral / range-bound; 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. COSW positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move COSW alongside the broader basket even when COSW-specific fundamentals are unchanged. Short-premium structures like a iron condor on COSW carry tail risk when realized volatility exceeds the implied move; review historical COSW earnings reactions and macro stress periods before sizing. Always rebuild the position from current COSW chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on COSW?
- A iron condor on COSW is the iron condor strategy applied to COSW (etf). The strategy is structurally neutral / range-bound: An iron condor sells a call spread and a put spread at strikes outside spot, collecting net premium that is kept if the underlying stays inside the inner short strikes. With COSW etf at $44.58 on the November 13, 2026 close, the strikes shown on this page are snapped to the nearest listed COSW chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are COSW iron condor max profit and max loss calculated?
- Max profit equals the net credit times 100 inside the inner strikes; max loss equals wing width minus credit times 100. Two breakevens at inner strikes plus and minus the credit. For the COSW iron condor priced from the November 13, 2026 end-of-day chain at a 30-day expiry (ATM IV the current ATM IV), the computed maximum profit is $72.00 per contract and the computed maximum loss is -$128.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a COSW iron condor?
- The breakeven for the COSW iron condor priced on this page is roughly $41.28 and $47.72 at expiration, derived from the November 13, 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.
- When should you consider a iron condor on COSW?
- Iron condors on COSW are a delta-neutral premium-collection structure that profits if COSW etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current COSW implied volatility affect this iron condor?
- Current COSW ATM IV is the current ATM IV; IV rank context is unavailable in the current snapshot.