MAGS Cash-Secured Put Strategy
MAGS (Roundhill Magnificent Seven ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.
Listed Funds Trust - Roundhill Magnificent Seven ETF is an exchange traded fund launched by Listed Funds Trust. The fund is co-managed by Exchange Traded Concepts, LLC, Roundhill Financial Inc. It invests in public equity markets. The fund invests directly and through derivatives in stocks of companies operating across Information technology, semiconductors and semiconductor equipment, semiconductors, software and services, software, technology hardware and equipment, automotive, e-commerce discretionary and internet media & services sectors. The fund uses derivatives such as swaps, forwards to create its portfolio. The fund invests in growth and value stocks of large-cap companies.
MAGS (Roundhill Magnificent Seven ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $3.73B, a beta of 1.38 versus the broader market, a 52-week range of 55.085-71.16, average daily share volume of 4.2M, a public-listing history dating back to 2023, approximately 394 full-time employees. These structural characteristics shape how MAGS etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.38 indicates MAGS has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. MAGS 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 MAGS?
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.
MAGS snapshot
As of August 14, 2026, spot at $68.31, ATM IV 20.80%, IV rank 20.13%, expected move 5.96%. The cash-secured put on MAGS 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 28-day expiry.
Why this cash-secured put structure on MAGS specifically: MAGS IV at 20.80% is on the cheap side of its 1-year range, which means a premium-selling MAGS cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 5.96% (roughly $4.07 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated MAGS expiries trade a higher absolute premium for lower per-day decay. Position sizing on MAGS should anchor to the underlying notional of $68.31 per share and to the trader's directional view on MAGS etf.
MAGS cash-secured put setup
The MAGS 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 MAGS at $68.31 on that close, the first option leg uses a $65.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MAGS chain at a 28-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 MAGS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $65.00 | $0.45 |
MAGS cash-secured put risk and reward
- Net Premium / Debit
- +$45.00
- Max Profit (per contract)
- $45.00
- Max Loss (per contract)
- -$6,454.00
- Breakeven(s)
- $64.56
- Risk / Reward Ratio
- 0.007
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
MAGS cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on MAGS. 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% | -$6,454.00 |
| $15.11 | -77.9% | -$4,943.74 |
| $30.22 | -55.8% | -$3,433.48 |
| $45.32 | -33.7% | -$1,923.22 |
| $60.42 | -11.5% | -$412.95 |
| $75.52 | +10.6% | +$45.00 |
| $90.63 | +32.7% | +$45.00 |
| $105.73 | +54.8% | +$45.00 |
| $120.83 | +76.9% | +$45.00 |
| $135.93 | +99.0% | +$45.00 |
When traders use cash-secured put on MAGS
Cash-secured puts on MAGS earn premium while a trader waits to acquire MAGS etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning MAGS.
MAGS thesis for this cash-secured put
The market-implied 1-standard-deviation range for MAGS extends from approximately $64.24 on the downside to $72.38 on the upside. A MAGS cash-secured put lets a trader earn premium while waiting to acquire MAGS 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 MAGS IV rank near 20.13% 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 MAGS at 20.80%. As a Financial Services name, MAGS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MAGS-specific events.
MAGS 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. MAGS positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MAGS alongside the broader basket even when MAGS-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on MAGS carry tail risk when realized volatility exceeds the implied move; review historical MAGS earnings reactions and macro stress periods before sizing. Always rebuild the position from current MAGS chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on MAGS?
- A cash-secured put on MAGS is the cash-secured put strategy applied to MAGS (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 MAGS etf at $68.31 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed MAGS chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are MAGS 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 MAGS cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 20.80%), the computed maximum profit is $45.00 per contract and the computed maximum loss is -$6,454.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a MAGS cash-secured put?
- The breakeven for the MAGS cash-secured put priced on this page is roughly $64.56 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 MAGS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 5.96%; 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 MAGS?
- Cash-secured puts on MAGS earn premium while a trader waits to acquire MAGS etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning MAGS.
- How does current MAGS implied volatility affect this cash-secured put?
- MAGS ATM IV is at 20.80% with IV rank near 20.13%, 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.