HRTS Iron Condor Strategy
HRTS (Tema Cardiovascular and Metabolic ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The Tema Heart & Health ETF (HRTS) is designed to strategically invest in companies poised to benefit from cutting-edge developments within the biotechnology and broader healthcare industries. Its investment mandate specifically targets firms focused on advancing treatments and therapies for cardiovascular health, metabolic disorders, and weight management.
HRTS (Tema Cardiovascular and Metabolic ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $56.0M, a beta of 0.65 versus the broader market, a 52-week range of 28.11-37.82, average daily share volume of 6K, a public-listing history dating back to 2023. These structural characteristics shape how HRTS etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.65 indicates HRTS has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. HRTS pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on HRTS?
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.
HRTS snapshot
As of August 14, 2026, spot at $37.12, ATM IV 19.70%, IV rank 6.93%, expected move 5.65%. The iron condor on HRTS 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 iron condor structure on HRTS specifically: HRTS IV at 19.70% is on the cheap side of its 1-year range, which means a premium-selling HRTS iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 5.65% (roughly $2.10 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 HRTS expiries trade a higher absolute premium for lower per-day decay. Position sizing on HRTS should anchor to the underlying notional of $37.12 per share and to the trader's directional view on HRTS etf.
HRTS iron condor setup
The HRTS iron condor 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 HRTS at $37.12 on that close, the first option leg uses a $39.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HRTS 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 HRTS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $39.00 | $0.31 |
| Buy 1 | Call | $41.00 | $0.06 |
| Sell 1 | Put | $35.00 | $0.20 |
| Buy 1 | Put | $33.00 | $0.02 |
HRTS iron condor risk and reward
- Net Premium / Debit
- +$43.00
- Max Profit (per contract)
- $43.00
- Max Loss (per contract)
- -$157.00
- Breakeven(s)
- $34.57, $39.43
- Risk / Reward Ratio
- 0.274
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.
HRTS iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on HRTS. 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% | -$157.00 |
| $8.22 | -77.9% | -$157.00 |
| $16.42 | -55.8% | -$157.00 |
| $24.63 | -33.7% | -$157.00 |
| $32.84 | -11.5% | -$157.00 |
| $41.04 | +10.6% | -$157.00 |
| $49.25 | +32.7% | -$157.00 |
| $57.45 | +54.8% | -$157.00 |
| $65.66 | +76.9% | -$157.00 |
| $73.87 | +99.0% | -$157.00 |
When traders use iron condor on HRTS
Iron condors on HRTS are a delta-neutral premium-collection structure that profits if HRTS etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
HRTS thesis for this iron condor
The market-implied 1-standard-deviation range for HRTS extends from approximately $35.02 on the downside to $39.22 on the upside. A HRTS iron condor is a delta-neutral premium-collection structure that pays off when HRTS 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 HRTS IV rank near 6.93% 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 HRTS at 19.70%. As a Financial Services name, HRTS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HRTS-specific events.
HRTS 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. HRTS positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HRTS alongside the broader basket even when HRTS-specific fundamentals are unchanged. Short-premium structures like a iron condor on HRTS carry tail risk when realized volatility exceeds the implied move; review historical HRTS earnings reactions and macro stress periods before sizing. Always rebuild the position from current HRTS chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on HRTS?
- A iron condor on HRTS is the iron condor strategy applied to HRTS (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 HRTS etf at $37.12 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed HRTS chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are HRTS 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 HRTS iron condor priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 19.70%), the computed maximum profit is $43.00 per contract and the computed maximum loss is -$157.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HRTS iron condor?
- The breakeven for the HRTS iron condor priced on this page is roughly $34.57 and $39.43 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 HRTS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 5.65%; 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 HRTS?
- Iron condors on HRTS are a delta-neutral premium-collection structure that profits if HRTS etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current HRTS implied volatility affect this iron condor?
- HRTS ATM IV is at 19.70% with IV rank near 6.93%, 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.