How are IYW cash-secured put max profit and max loss calculated?

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the IYW cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 23.60%), the computed maximum profit is $267.50 per contract and the computed maximum loss is -$23,731.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a IYW cash-secured put?

The breakeven for the IYW cash-secured put priced on this page is roughly $237.33 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 IYW market-implied 1-standard-deviation expected move in the same options snapshot is approximately 6.77%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current IYW implied volatility affect this cash-secured put?

IYW ATM IV is at 23.60% with IV rank near 39.02%, 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.

IYW Cash-Secured Put Strategy

IYW (iShares U.S. Technology ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.

The Fund seeks investment results corresponding generally to the price and yield performance of Russell 1000 Technology RIC 22.5/45 Capped Index which measures the performance of the technology sector of the U.S. equity market. The Fund generally will invest in the component securities of its Underlying Index.

IYW (iShares U.S. Technology ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $25.07B, a beta of 1.36 versus the broader market, a 52-week range of 172.54-261.01, average daily share volume of 911K, a public-listing history dating back to 2000. These structural characteristics shape how IYW etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.36 indicates IYW has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. IYW pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a cash-secured put on IYW?

A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.

IYW snapshot

As of August 14, 2026, spot at $255.09, ATM IV 23.60%, IV rank 39.02%, expected move 6.77%. The cash-secured put on IYW 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 cash-secured put structure on IYW specifically: IYW IV at 23.60% is mid-range versus its 1-year history, so the credit collected on a IYW cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 6.77% (roughly $17.26 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 IYW expiries trade a higher absolute premium for lower per-day decay. Position sizing on IYW should anchor to the underlying notional of $255.09 per share and to the trader's directional view on IYW etf.

IYW cash-secured put setup

The IYW cash-secured put 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 IYW at $255.09 on that close, the first option leg uses a $240.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed IYW 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 IYW shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Sell 1	Put	$240.00	$2.68

IYW cash-secured put risk and reward

Net Premium / Debit: +$267.50
Max Profit (per contract): $267.50
Max Loss (per contract): -$23,731.50
Breakeven(s): $237.33
Risk / Reward Ratio: 0.011

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.

IYW cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on IYW. 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	-100.0%	-$23,731.50
$56.41	-77.9%	-$18,091.43
$112.81	-55.8%	-$12,451.36
$169.21	-33.7%	-$6,811.29
$225.61	-11.6%	-$1,171.22
$282.01	+10.6%	+$267.50
$338.41	+32.7%	+$267.50
$394.81	+54.8%	+$267.50
$451.22	+76.9%	+$267.50
$507.62	+99.0%	+$267.50

When traders use cash-secured put on IYW

Cash-secured puts on IYW earn premium while a trader waits to acquire IYW etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning IYW.

IYW thesis for this cash-secured put

The market-implied 1-standard-deviation range for IYW extends from approximately $237.83 on the downside to $272.35 on the upside. A IYW cash-secured put lets a trader earn premium while waiting to acquire IYW at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current IYW IV rank near 39.02% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on IYW should anchor more to the directional view and the expected-move geometry. As a Financial Services name, IYW options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to IYW-specific events.

IYW cash-secured put positions are structurally neutral to slightly bullish; 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. IYW positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move IYW alongside the broader basket even when IYW-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on IYW carry tail risk when realized volatility exceeds the implied move; review historical IYW earnings reactions and macro stress periods before sizing. Always rebuild the position from current IYW chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on IYW?: A cash-secured put on IYW is the cash-secured put strategy applied to IYW (etf). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With IYW etf at $255.09 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed IYW chain strike and the premiums come straight from that session's bid/ask midpoint.
How are IYW cash-secured put max profit and max loss calculated?: Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the IYW cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 23.60%), the computed maximum profit is $267.50 per contract and the computed maximum loss is -$23,731.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a IYW cash-secured put?: The breakeven for the IYW cash-secured put priced on this page is roughly $237.33 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 IYW market-implied 1-standard-deviation expected move in the same options snapshot is approximately 6.77%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a cash-secured put on IYW?: Cash-secured puts on IYW earn premium while a trader waits to acquire IYW etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning IYW.
How does current IYW implied volatility affect this cash-secured put?: IYW ATM IV is at 23.60% with IV rank near 39.02%, 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.