How are FLYT 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 FLYT butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 211.50%), the computed maximum profit is $50.00 per contract and the computed maximum loss is -$50.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a FLYT butterfly?

The breakeven for the FLYT butterfly priced on this page is roughly $10.50 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 FLYT market-implied 1-standard-deviation expected move is approximately 60.64%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current FLYT implied volatility affect this butterfly?

FLYT ATM IV is at 211.50% with IV rank near 61.52%, 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.

FLYT Butterfly Strategy

FLYT (Direxion Flight to Safety Strategy ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.

The Direxion Flight to Safety Strategy ETF (FLYT) typically allocates a minimum of 80% of its assets to the components of its benchmark index. This underlying index is designed to track a volatility-weighted collection of specific "safe haven" investments: gold, shares of large-capitalization U.S. utility companies, and U.S. Treasury bonds with maturities greater than two decades. Investors should note that this fund operates as a non-diversified investment vehicle.

FLYT (Direxion Flight to Safety Strategy ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $15.0M, a beta of 0.00 versus the broader market, a 52-week range of 45.96-51.38, average daily share volume of 1K, a public-listing history dating back to 2020. These structural characteristics shape how FLYT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.00 indicates FLYT has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.

What is a butterfly on FLYT?

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.

Current FLYT snapshot

As of June 30, 2026, spot at $10.77, ATM IV 211.50%, IV rank 61.52%, expected move 60.64%. The butterfly on FLYT 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 butterfly structure on FLYT specifically: FLYT IV at 211.50% 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 60.64% (roughly $6.53 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 FLYT expiries trade a higher absolute premium for lower per-day decay. Position sizing on FLYT should anchor to the underlying notional of $10.77 per share and to the trader's directional view on FLYT etf.

FLYT butterfly setup

The FLYT butterfly below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With FLYT near $10.77, the first option leg uses a $10.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FLYT 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 FLYT shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$10.00	$2.13
Sell 2	Call	$11.00	$1.63
Buy 1	Call	$11.00	$1.63

FLYT butterfly risk and reward

Net Premium / Debit: -$50.00
Max Profit (per contract): $50.00
Max Loss (per contract): -$50.00
Breakeven(s): $10.50
Risk / Reward Ratio: 1.000

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.

FLYT butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on FLYT. 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	-99.9%	-$50.00
$2.39	-77.8%	-$50.00
$4.77	-55.7%	-$50.00
$7.15	-33.6%	-$50.00
$9.53	-11.5%	-$50.00
$11.91	+10.6%	+$50.00
$14.29	+32.7%	+$50.00
$16.67	+54.8%	+$50.00
$19.05	+76.9%	+$50.00
$21.43	+99.0%	+$50.00

When traders use butterfly on FLYT

Butterflies on FLYT are pinning bets - traders use them when they expect FLYT 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.

FLYT thesis for this butterfly

The market-implied 1-standard-deviation range for FLYT extends from approximately $4.24 on the downside to $17.30 on the upside. A FLYT long call butterfly is a pinning play: it pays maximum at the middle strike if FLYT settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current FLYT IV rank near 61.52% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on FLYT should anchor more to the directional view and the expected-move geometry. As a Financial Services name, FLYT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FLYT-specific events.

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

Frequently asked questions

What is a butterfly on FLYT?: A butterfly on FLYT is the butterfly strategy applied to FLYT (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 FLYT etf trading near $10.77, the strikes shown on this page are snapped to the nearest listed FLYT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are FLYT 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 FLYT butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 211.50%), the computed maximum profit is $50.00 per contract and the computed maximum loss is -$50.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a FLYT butterfly?: The breakeven for the FLYT butterfly priced on this page is roughly $10.50 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 FLYT market-implied 1-standard-deviation expected move is approximately 60.64%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on FLYT?: Butterflies on FLYT are pinning bets - traders use them when they expect FLYT 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 FLYT implied volatility affect this butterfly?: FLYT ATM IV is at 211.50% with IV rank near 61.52%, 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.