GLL Collar Strategy
GLL (ProShares - UltraShort Gold), in the Financial Services sector, (Asset Management - Leveraged industry), listed on AMEX.
The ProShares UltraShort Gold fund is engineered to provide daily returns that are precisely two times the opposite (-2x) of the Bloomberg Gold Subindex's daily movement. This objective is measured before accounting for any associated fees and operational costs.
GLL (ProShares - UltraShort Gold) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $104.0M, a beta of -0.63 versus the broader market, a 52-week range of 15.6-44.78, average daily share volume of 2.9M, a public-listing history dating back to 2008. These structural characteristics shape how GLL etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -0.63 indicates GLL 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 collar on GLL?
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.
GLL snapshot
As of August 14, 2026, spot at $22.62, ATM IV 43.50%, IV rank 25.78%, expected move 12.47%. The collar on GLL below is built from the August 14, 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 collar structure on GLL specifically: IV regime affects collar pricing on both sides; compressed GLL IV at 43.50% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 12.47% (roughly $2.82 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated GLL expiries trade a higher absolute premium for lower per-day decay. Position sizing on GLL should anchor to the underlying notional of $22.62 per share and to the trader's directional view on GLL etf.
GLL collar setup
The GLL collar below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With GLL at $22.62 on that close, the first option leg uses a $24.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed GLL 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 GLL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $22.62 | long |
| Sell 1 | Call | $24.00 | $0.70 |
| Buy 1 | Put | $21.00 | $0.58 |
GLL collar risk and reward
- Net Premium / Debit
- -$2,249.50
- Max Profit (per contract)
- $150.50
- Max Loss (per contract)
- -$149.50
- Breakeven(s)
- $22.50
- Risk / Reward Ratio
- 1.007
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.
GLL collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on GLL. 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% | -$149.50 |
| $5.01 | -77.9% | -$149.50 |
| $10.01 | -55.7% | -$149.50 |
| $15.01 | -33.6% | -$149.50 |
| $20.01 | -11.5% | -$149.50 |
| $25.01 | +10.6% | +$150.50 |
| $30.01 | +32.7% | +$150.50 |
| $35.01 | +54.8% | +$150.50 |
| $40.01 | +76.9% | +$150.50 |
| $45.01 | +99.0% | +$150.50 |
When traders use collar on GLL
Collars on GLL hedge an existing long GLL 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.
GLL thesis for this collar
The market-implied 1-standard-deviation range for GLL extends from approximately $19.80 on the downside to $25.44 on the upside. A GLL collar hedges an existing long GLL 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 GLL IV rank near 25.78% 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 GLL at 43.50%. As a Financial Services name, GLL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to GLL-specific events.
GLL 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. GLL positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move GLL alongside the broader basket even when GLL-specific fundamentals are unchanged. Always rebuild the position from current GLL chain quotes before placing a trade.
Frequently asked questions
- What is a collar on GLL?
- A collar on GLL is the collar strategy applied to GLL (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 GLL etf at $22.62 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed GLL chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are GLL 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 GLL collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 43.50%), the computed maximum profit is $150.50 per contract and the computed maximum loss is -$149.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a GLL collar?
- The breakeven for the GLL collar priced on this page is roughly $22.50 at expiration, derived from the August 14, 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. The GLL market-implied 1-standard-deviation expected move in the same options snapshot is approximately 12.47%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on GLL?
- Collars on GLL hedge an existing long GLL 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 GLL implied volatility affect this collar?
- GLL ATM IV is at 43.50% with IV rank near 25.78%, 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.