FNX Iron Condor Strategy
FNX (First Trust Mid Cap Core AlphaDEX Fund), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The First Trust Mid Cap Core AlphaDEX Fund is an exchange-traded fund. The investment objective of the Fund is to seek investment results that correspond generally to the price and yield, before fees and expenses, of an equity index called the Nasdaq AlphaDEX Mid Cap Core Index.
FNX (First Trust Mid Cap Core AlphaDEX Fund) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $1.32B, a beta of 1.17 versus the broader market, a 52-week range of 108.55-140.82, average daily share volume of 31K, a public-listing history dating back to 2007. These structural characteristics shape how FNX etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.17 places FNX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. FNX pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on FNX?
An iron condor sells a call spread and a put spread at strikes outside spot, collecting net premium that is kept if the underlying stays inside the inner short strikes.
Current FNX snapshot
As of May 15, 2026, spot at $135.96, ATM IV 19.60%, IV rank 38.03%, expected move 5.62%. The iron condor on FNX 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 63-day expiry.
Why this iron condor structure on FNX specifically: FNX IV at 19.60% is mid-range versus its 1-year history, so the credit collected on a FNX iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 5.62% (roughly $7.64 on the underlying). The 63-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated FNX expiries trade a higher absolute premium for lower per-day decay. Position sizing on FNX should anchor to the underlying notional of $135.96 per share and to the trader's directional view on FNX etf.
FNX iron condor setup
The FNX iron condor below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With FNX near $135.96, the first option leg uses a $143.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FNX chain at a 63-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 FNX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $143.00 | $1.58 |
| Buy 1 | Call | $150.00 | $0.32 |
| Sell 1 | Put | $129.00 | $1.95 |
| Buy 1 | Put | $122.00 | $0.51 |
FNX iron condor risk and reward
- Net Premium / Debit
- +$269.50
- Max Profit (per contract)
- $269.50
- Max Loss (per contract)
- -$430.50
- Breakeven(s)
- $126.31, $145.70
- Risk / Reward Ratio
- 0.626
Max profit equals the net credit times 100 inside the inner strikes; max loss equals wing width minus credit times 100. Two breakevens at inner strikes plus and minus the credit.
FNX iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on FNX. 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% | -$430.50 |
| $30.07 | -77.9% | -$430.50 |
| $60.13 | -55.8% | -$430.50 |
| $90.19 | -33.7% | -$430.50 |
| $120.25 | -11.6% | -$430.50 |
| $150.31 | +10.6% | -$430.50 |
| $180.37 | +32.7% | -$430.50 |
| $210.43 | +54.8% | -$430.50 |
| $240.49 | +76.9% | -$430.50 |
| $270.55 | +99.0% | -$430.50 |
When traders use iron condor on FNX
Iron condors on FNX are a delta-neutral premium-collection structure that profits if FNX etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
FNX thesis for this iron condor
The market-implied 1-standard-deviation range for FNX extends from approximately $128.32 on the downside to $143.60 on the upside. A FNX iron condor is a delta-neutral premium-collection structure that pays off when FNX stays inside the inner short strikes through expiration; the wing width should reflect the trader's tolerance for the maximum loss scenario where the underlying breaches an outer strike. Current FNX IV rank near 38.03% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on FNX should anchor more to the directional view and the expected-move geometry. As a Financial Services name, FNX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FNX-specific events.
FNX iron condor positions are structurally neutral / range-bound; 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. FNX positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FNX alongside the broader basket even when FNX-specific fundamentals are unchanged. Short-premium structures like a iron condor on FNX carry tail risk when realized volatility exceeds the implied move; review historical FNX earnings reactions and macro stress periods before sizing. Always rebuild the position from current FNX chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on FNX?
- A iron condor on FNX is the iron condor strategy applied to FNX (etf). The strategy is structurally neutral / range-bound: An iron condor sells a call spread and a put spread at strikes outside spot, collecting net premium that is kept if the underlying stays inside the inner short strikes. With FNX etf trading near $135.96, the strikes shown on this page are snapped to the nearest listed FNX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are FNX iron condor max profit and max loss calculated?
- Max profit equals the net credit times 100 inside the inner strikes; max loss equals wing width minus credit times 100. Two breakevens at inner strikes plus and minus the credit. For the FNX iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 19.60%), the computed maximum profit is $269.50 per contract and the computed maximum loss is -$430.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a FNX iron condor?
- The breakeven for the FNX iron condor priced on this page is roughly $126.31 and $145.70 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 FNX market-implied 1-standard-deviation expected move is approximately 5.62%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a iron condor on FNX?
- Iron condors on FNX are a delta-neutral premium-collection structure that profits if FNX etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current FNX implied volatility affect this iron condor?
- FNX ATM IV is at 19.60% with IV rank near 38.03%, 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.