ORR Collar Strategy
ORR (Militia Long/Short Equity ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
ORR is an actively managed ETF aiming for capital appreciation through both long and short equity positions. The long portfolio targets undervalued or growth potential equities, with a focus on developed markets. Long positions may exceed 100% of net assets, capped typically at 150%. Short positions focus on U.S.-listed companies and ETFs expected to decline, influenced by declining future cash flow projections. ORR can have short exposure up to 100% and may include inverse or leveraged ETFs. The fund actively trades positions, resulting in high annual portfolio turnover.
ORR (Militia Long/Short Equity ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $36.0M, a beta of 0.09 versus the broader market, a 52-week range of 27.74-39.39, average daily share volume of 274K, a public-listing history dating back to 2007. These structural characteristics shape how ORR etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.09 indicates ORR 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 ORR?
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 ORR snapshot
As of May 15, 2026, spot at $36.59, ATM IV 21.80%, expected move 6.25%. The collar on ORR 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 ORR specifically: IV rank is unavailable in the current snapshot, so regime-based timing for ORR is inferred from ATM IV at 21.80% alone, with a market-implied 1-standard-deviation move of approximately 6.25% (roughly $2.29 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 ORR expiries trade a higher absolute premium for lower per-day decay. Position sizing on ORR should anchor to the underlying notional of $36.59 per share and to the trader's directional view on ORR etf.
ORR collar setup
The ORR 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 ORR near $36.59, the first option leg uses a $38.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ORR 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 ORR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $36.59 | long |
| Sell 1 | Call | $38.00 | $0.52 |
| Buy 1 | Put | $35.00 | $0.40 |
ORR collar risk and reward
- Net Premium / Debit
- -$3,647.00
- Max Profit (per contract)
- $153.00
- Max Loss (per contract)
- -$147.00
- Breakeven(s)
- $36.47
- Risk / Reward Ratio
- 1.041
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.
ORR collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on ORR. 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% | -$147.00 |
| $8.10 | -77.9% | -$147.00 |
| $16.19 | -55.8% | -$147.00 |
| $24.28 | -33.7% | -$147.00 |
| $32.37 | -11.5% | -$147.00 |
| $40.46 | +10.6% | +$153.00 |
| $48.54 | +32.7% | +$153.00 |
| $56.63 | +54.8% | +$153.00 |
| $64.72 | +76.9% | +$153.00 |
| $72.81 | +99.0% | +$153.00 |
When traders use collar on ORR
Collars on ORR hedge an existing long ORR 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.
ORR thesis for this collar
The market-implied 1-standard-deviation range for ORR extends from approximately $34.30 on the downside to $38.88 on the upside. A ORR collar hedges an existing long ORR 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. As a Financial Services name, ORR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ORR-specific events.
ORR 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. ORR positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ORR alongside the broader basket even when ORR-specific fundamentals are unchanged. Always rebuild the position from current ORR chain quotes before placing a trade.
Frequently asked questions
- What is a collar on ORR?
- A collar on ORR is the collar strategy applied to ORR (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 ORR etf trading near $36.59, the strikes shown on this page are snapped to the nearest listed ORR chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ORR 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 ORR collar priced from the end-of-day chain at a 30-day expiry (ATM IV 21.80%), the computed maximum profit is $153.00 per contract and the computed maximum loss is -$147.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ORR collar?
- The breakeven for the ORR collar priced on this page is roughly $36.47 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 ORR market-implied 1-standard-deviation expected move is approximately 6.25%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on ORR?
- Collars on ORR hedge an existing long ORR 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 ORR implied volatility affect this collar?
- Current ORR ATM IV is 21.80%; IV rank context is unavailable in the current snapshot.