HACK Collar Strategy
HACK (Amplify Cybersecurity ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.
HACK seeks investment results that generally correlate (before fees and expenses) to the total return performance of the Nasdaq ISE Cyber Security Select Index. HACK tracks a portfolio of companies actively involved in providing cybersecurity solutions that include hardware, software, and services.
HACK (Amplify Cybersecurity ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $1.96B, a beta of 0.60 versus the broader market, a 52-week range of 69.66-89.59, average daily share volume of 125K, a public-listing history dating back to 2014. These structural characteristics shape how HACK etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.60 indicates HACK has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. HACK pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on HACK?
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.
Current HACK snapshot
As of May 15, 2026, spot at $88.69, ATM IV 35.10%, IV rank 87.51%, expected move 10.06%. The collar on HACK 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 34-day expiry.
Why this collar structure on HACK specifically: IV regime affects collar pricing on both sides; elevated HACK IV at 35.10% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 10.06% (roughly $8.92 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated HACK expiries trade a higher absolute premium for lower per-day decay. Position sizing on HACK should anchor to the underlying notional of $88.69 per share and to the trader's directional view on HACK etf.
HACK collar setup
The HACK collar below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With HACK near $88.69, the first option leg uses a $93.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HACK chain at a 34-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 HACK shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $88.69 | long |
| Sell 1 | Call | $93.00 | $1.88 |
| Buy 1 | Put | $84.00 | $1.78 |
HACK collar risk and reward
- Net Premium / Debit
- -$8,859.00
- Max Profit (per contract)
- $441.00
- Max Loss (per contract)
- -$459.00
- Breakeven(s)
- $88.59
- Risk / Reward Ratio
- 0.961
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.
HACK collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on HACK. 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% | -$459.00 |
| $19.62 | -77.9% | -$459.00 |
| $39.23 | -55.8% | -$459.00 |
| $58.84 | -33.7% | -$459.00 |
| $78.44 | -11.6% | -$459.00 |
| $98.05 | +10.6% | +$441.00 |
| $117.66 | +32.7% | +$441.00 |
| $137.27 | +54.8% | +$441.00 |
| $156.88 | +76.9% | +$441.00 |
| $176.49 | +99.0% | +$441.00 |
When traders use collar on HACK
Collars on HACK hedge an existing long HACK 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.
HACK thesis for this collar
The market-implied 1-standard-deviation range for HACK extends from approximately $79.77 on the downside to $97.61 on the upside. A HACK collar hedges an existing long HACK 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 HACK IV rank near 87.51% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on HACK at 35.10%. As a Financial Services name, HACK options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HACK-specific events.
HACK 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. HACK positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HACK alongside the broader basket even when HACK-specific fundamentals are unchanged. Always rebuild the position from current HACK chain quotes before placing a trade.
Frequently asked questions
- What is a collar on HACK?
- A collar on HACK is the collar strategy applied to HACK (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 HACK etf trading near $88.69, the strikes shown on this page are snapped to the nearest listed HACK chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HACK 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 HACK collar priced from the end-of-day chain at a 30-day expiry (ATM IV 35.10%), the computed maximum profit is $441.00 per contract and the computed maximum loss is -$459.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HACK collar?
- The breakeven for the HACK collar priced on this page is roughly $88.59 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 HACK market-implied 1-standard-deviation expected move is approximately 10.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on HACK?
- Collars on HACK hedge an existing long HACK 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 HACK implied volatility affect this collar?
- HACK ATM IV is at 35.10% with IV rank near 87.51%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.