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, known by its ticker CTEC, endeavors to replicate the overall price and dividend performance, net of applicable fees and operational costs, 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 $27.0M, a beta of 1.95 versus the broader market, a 52-week range of 35.235-83.01, average daily share volume of 4K, 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 1.95 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 June 29, 2026, spot at $63.14, ATM IV 46.60%, IV rank 11.76%, expected move 13.36%. 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 18-day expiry.
Why this collar structure on CTEC specifically: IV regime affects collar pricing on both sides; compressed CTEC IV at 46.60% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 13.36% (roughly $8.44 on the underlying). The 18-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 $63.14 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 $63.14, the first option leg uses a $66.00 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 18-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 | $63.14 | long |
| Sell 1 | Call | $66.00 | $1.14 |
| Buy 1 | Put | $60.00 | $1.50 |
CTEC collar risk and reward
- Net Premium / Debit
- -$6,350.00
- Max Profit (per contract)
- $250.00
- Max Loss (per contract)
- -$350.00
- Breakeven(s)
- $63.50
- Risk / Reward Ratio
- 0.714
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% | -$350.00 |
| $13.97 | -77.9% | -$350.00 |
| $27.93 | -55.8% | -$350.00 |
| $41.89 | -33.7% | -$350.00 |
| $55.85 | -11.5% | -$350.00 |
| $69.81 | +10.6% | +$250.00 |
| $83.77 | +32.7% | +$250.00 |
| $97.73 | +54.8% | +$250.00 |
| $111.69 | +76.9% | +$250.00 |
| $125.65 | +99.0% | +$250.00 |
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 $54.70 on the downside to $71.58 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 11.76% 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 46.60%. 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 $63.14, 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 46.60%), the computed maximum profit is $250.00 per contract and the computed maximum loss is -$350.00 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 $63.50 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 13.36%; 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 46.60% with IV rank near 11.76%, 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.