How are FJP butterfly max profit and max loss calculated?

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the FJP butterfly 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 $238.99 per contract and the computed maximum loss is -$158.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a FJP butterfly?

The breakeven for the FJP butterfly priced on this page is roughly $69.59 and $74.42 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.

How does current FJP implied volatility affect this butterfly?

Current FJP ATM IV is the current ATM IV; IV rank context is unavailable in the current snapshot.

FJP Butterfly Strategy

FJP (First Trust Japan AlphaDEX Fund), in the Financial Services sector, (Asset Management - Global industry), listed on NASDAQ.

The First Trust Japan AlphaDEX Fund (FJP) functions as an exchange-traded fund. Its core objective is to closely mirror the total return, including both capital appreciation and income, of the Nasdaq AlphaDEX Japan Index, an equity market benchmark. This performance replication is considered before the deduction of the Fund's own management fees and operational expenses.

FJP (First Trust Japan AlphaDEX Fund) trades in the Financial Services sector, specifically Asset Management - Global, with a market capitalization of approximately $254.3M, a beta of 0.83 versus the broader market, a 52-week range of 65.34-82.45, average daily share volume of 14K, a public-listing history dating back to 2011. These structural characteristics shape how FJP etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.83 places FJP roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. FJP pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on FJP?

A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.

FJP snapshot

As of November 13, 2026, spot at $71.66. The butterfly on FJP 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 butterfly structure on FJP specifically: IV rank is unavailable in the current snapshot, so regime-based timing for FJP 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 FJP expiries trade a higher absolute premium for lower per-day decay. Position sizing on FJP should anchor to the underlying notional of $71.66 per share and to the trader's directional view on FJP etf.

FJP butterfly setup

The FJP butterfly 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 FJP at $71.66 on that close, the first option leg uses a $68.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FJP 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 FJP shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$68.00	$4.33
Sell 2	Call	$72.00	$1.70
Buy 1	Call	$75.00	$0.66

FJP butterfly risk and reward

Net Premium / Debit: -$158.50
Max Profit (per contract): $238.99
Max Loss (per contract): -$158.50
Breakeven(s): $69.59, $74.42
Risk / Reward Ratio: 1.508

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.

FJP butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on FJP. 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%	-$158.50
$15.85	-77.9%	-$158.50
$31.70	-55.8%	-$158.50
$47.54	-33.7%	-$158.50
$63.38	-11.6%	-$158.50
$79.23	+10.6%	-$58.50
$95.07	+32.7%	-$58.50
$110.91	+54.8%	-$58.50
$126.76	+76.9%	-$58.50
$142.60	+99.0%	-$58.50

When traders use butterfly on FJP

Butterflies on FJP are pinning bets - traders use them when they expect FJP to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.

FJP thesis for this butterfly

A FJP long call butterfly is a pinning play: it pays maximum at the middle strike if FJP settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. As a Financial Services name, FJP options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FJP-specific events.

FJP butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. FJP positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FJP alongside the broader basket even when FJP-specific fundamentals are unchanged. Always rebuild the position from current FJP chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on FJP?: A butterfly on FJP is the butterfly strategy applied to FJP (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With FJP etf at $71.66 on the November 13, 2026 close, the strikes shown on this page are snapped to the nearest listed FJP chain strike and the premiums come straight from that session's bid/ask midpoint.
How are FJP butterfly max profit and max loss calculated?: Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the FJP butterfly 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 $238.99 per contract and the computed maximum loss is -$158.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a FJP butterfly?: The breakeven for the FJP butterfly priced on this page is roughly $69.59 and $74.42 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 butterfly on FJP?: Butterflies on FJP are pinning bets - traders use them when they expect FJP to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
How does current FJP implied volatility affect this butterfly?: Current FJP ATM IV is the current ATM IV; IV rank context is unavailable in the current snapshot.