CTEC Collar Strategy
CTEC (Global X - CleanTech ETF), in the Financial Services sector, (Asset Management - Global industry), listed on NASDAQ.
The Global X CleanTech ETF (CTEC) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Indxx Global CleanTech Index.
CTEC (Global X - CleanTech ETF) trades in the Financial Services sector, specifically Asset Management - Global, with a market capitalization of approximately $31.9M, a beta of 1.88 versus the broader market, a 52-week range of 31.7-73.79, average daily share volume of 5K, a public-listing history dating back to 2020. These structural characteristics shape how CTEC etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.88 indicates CTEC has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. CTEC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on CTEC?
A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot.
Current CTEC snapshot
As of May 15, 2026, spot at $72.14, ATM IV 36.70%, IV rank 8.20%, expected move 10.52%. The collar on CTEC 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 collar structure on CTEC specifically: IV regime affects collar pricing on both sides; compressed CTEC IV at 36.70% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 10.52% (roughly $7.59 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 CTEC expiries trade a higher absolute premium for lower per-day decay. Position sizing on CTEC should anchor to the underlying notional of $72.14 per share and to the trader's directional view on CTEC etf.
CTEC collar setup
The CTEC collar below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With CTEC near $72.14, the first option leg uses a $76.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CTEC 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 CTEC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $72.14 | long |
| Sell 1 | Call | $76.00 | $1.79 |
| Buy 1 | Put | $69.00 | $2.50 |
CTEC collar risk and reward
- Net Premium / Debit
- -$7,285.00
- Max Profit (per contract)
- $315.00
- Max Loss (per contract)
- -$385.00
- Breakeven(s)
- $72.85
- Risk / Reward Ratio
- 0.818
Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium.
CTEC collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on CTEC. 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% | -$385.00 |
| $15.96 | -77.9% | -$385.00 |
| $31.91 | -55.8% | -$385.00 |
| $47.86 | -33.7% | -$385.00 |
| $63.81 | -11.6% | -$385.00 |
| $79.76 | +10.6% | +$315.00 |
| $95.71 | +32.7% | +$315.00 |
| $111.66 | +54.8% | +$315.00 |
| $127.61 | +76.9% | +$315.00 |
| $143.56 | +99.0% | +$315.00 |
When traders use collar on CTEC
Collars on CTEC hedge an existing long CTEC etf position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
CTEC thesis for this collar
The market-implied 1-standard-deviation range for CTEC extends from approximately $64.55 on the downside to $79.73 on the upside. A CTEC collar hedges an existing long CTEC position with a protective put while financing the put cost via a short call; when the premiums roughly offset, the collar acts as a near-zero-cost insurance band around the current spot. Current CTEC IV rank near 8.20% 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 CTEC at 36.70%. As a Financial Services name, CTEC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CTEC-specific events.
CTEC collar positions are structurally neutral (protective); 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. CTEC positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CTEC alongside the broader basket even when CTEC-specific fundamentals are unchanged. Always rebuild the position from current CTEC chain quotes before placing a trade.
Frequently asked questions
- What is a collar on CTEC?
- A collar on CTEC is the collar strategy applied to CTEC (etf). The strategy is structurally neutral (protective): A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot. With CTEC etf trading near $72.14, the strikes shown on this page are snapped to the nearest listed CTEC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are CTEC collar max profit and max loss calculated?
- Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium. For the CTEC collar priced from the end-of-day chain at a 30-day expiry (ATM IV 36.70%), the computed maximum profit is $315.00 per contract and the computed maximum loss is -$385.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a CTEC collar?
- The breakeven for the CTEC collar priced on this page is roughly $72.85 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 CTEC market-implied 1-standard-deviation expected move is approximately 10.52%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on CTEC?
- Collars on CTEC hedge an existing long CTEC etf position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
- How does current CTEC implied volatility affect this collar?
- CTEC ATM IV is at 36.70% with IV rank near 8.20%, 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.