How are DGT bear put spread max profit and max loss calculated?

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the DGT bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 182.50%), the computed maximum profit is $773.50 per contract and the computed maximum loss is -$226.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a DGT bear put spread?

The breakeven for the DGT bear put spread priced on this page is roughly $182.74 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 DGT market-implied 1-standard-deviation expected move is approximately 52.32%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current DGT implied volatility affect this bear put spread?

DGT ATM IV is at 182.50% with IV rank near 36.43%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.

DGT Bear Put Spread Strategy

DGT (State Street SPDR Global Dow ETF), in the Financial Services sector, (Asset Management - Global industry), listed on AMEX.

The State Street SPDR Global Dow ETF endeavors to replicate the overall investment performance of the Global Dow Index, before the deduction of fees and expenses. This Index is composed of 150 companies from across the globe, meticulously chosen by the S&P Dow Jones Index Committee. These 150 firms are selected not just for their scale and market standing, but primarily for their substantial impact on the worldwide economy. The Index is specifically constructed to feature corporations from both established and developing nations.

DGT (State Street SPDR Global Dow ETF) trades in the Financial Services sector, specifically Asset Management - Global, with a market capitalization of approximately $627.5M, a beta of 0.87 versus the broader market, a 52-week range of 148.4-189.73, average daily share volume of 16K, a public-listing history dating back to 2000. These structural characteristics shape how DGT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.87 places DGT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. DGT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a bear put spread on DGT?

A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.

Current DGT snapshot

As of June 30, 2026, spot at $185.18, ATM IV 182.50%, IV rank 36.43%, expected move 52.32%. The bear put spread on DGT 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 17-day expiry.

Why this bear put spread structure on DGT specifically: DGT IV at 182.50% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 52.32% (roughly $96.89 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated DGT expiries trade a higher absolute premium for lower per-day decay. Position sizing on DGT should anchor to the underlying notional of $185.18 per share and to the trader's directional view on DGT etf.

DGT bear put spread setup

The DGT bear put spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With DGT near $185.18, the first option leg uses a $185.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed DGT chain at a 17-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 DGT shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Put	$185.00	$2.38
Sell 1	Put	$175.00	$0.11

DGT bear put spread risk and reward

Net Premium / Debit: -$226.50
Max Profit (per contract): $773.50
Max Loss (per contract): -$226.50
Breakeven(s): $182.74
Risk / Reward Ratio: 3.415

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.

DGT bear put spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bear put spread on DGT. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	+$773.50
$40.95	-77.9%	+$773.50
$81.90	-55.8%	+$773.50
$122.84	-33.7%	+$773.50
$163.78	-11.6%	+$773.50
$204.73	+10.6%	-$226.50
$245.67	+32.7%	-$226.50
$286.61	+54.8%	-$226.50
$327.56	+76.9%	-$226.50
$368.50	+99.0%	-$226.50

When traders use bear put spread on DGT

Bear put spreads on DGT reduce the cost of a bearish DGT etf position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.

DGT thesis for this bear put spread

The market-implied 1-standard-deviation range for DGT extends from approximately $88.29 on the downside to $282.07 on the upside. A DGT bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on DGT, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current DGT IV rank near 36.43% is mid-range against its 1-year distribution, so the IV signal is neutral; the bear put spread thesis on DGT should anchor more to the directional view and the expected-move geometry. As a Financial Services name, DGT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to DGT-specific events.

DGT bear put spread positions are structurally moderately 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. DGT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move DGT alongside the broader basket even when DGT-specific fundamentals are unchanged. Long-premium structures like a bear put spread on DGT 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 DGT chain quotes before placing a trade.

Frequently asked questions

What is a bear put spread on DGT?: A bear put spread on DGT is the bear put spread strategy applied to DGT (etf). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With DGT etf trading near $185.18, the strikes shown on this page are snapped to the nearest listed DGT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are DGT bear put spread max profit and max loss calculated?: Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the DGT bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 182.50%), the computed maximum profit is $773.50 per contract and the computed maximum loss is -$226.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a DGT bear put spread?: The breakeven for the DGT bear put spread priced on this page is roughly $182.74 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 DGT market-implied 1-standard-deviation expected move is approximately 52.32%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a bear put spread on DGT?: Bear put spreads on DGT reduce the cost of a bearish DGT etf position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
How does current DGT implied volatility affect this bear put spread?: DGT ATM IV is at 182.50% with IV rank near 36.43%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.