PDBA Iron Condor Strategy
PDBA (Invesco Agriculture Commodity Strategy No K-1 ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
Invesco Agriculture Commodity Strategy No K-1 ETF (Fund) is an actively managed exchange-traded fund (ETF) that seeks long-term capital appreciation by investing in commodity futures, commodity-linked futures and collateral, such as cash, cash-like instruments or high-quality securities that are economically linked to the agriculture sector. The Fund seeks to exceed the performance of the DBIQ Diversified Agriculture Index Excess Return Index, composed of futures contracts of the 11 most actively traded global agricultural commodities.
PDBA (Invesco Agriculture Commodity Strategy No K-1 ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $95.8M, a beta of 0.33 versus the broader market, a 52-week range of 33.88-38.43, average daily share volume of 230K, a public-listing history dating back to 2022. These structural characteristics shape how PDBA etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.33 indicates PDBA has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. PDBA pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on PDBA?
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.
Current PDBA snapshot
As of May 15, 2026, spot at $37.13, ATM IV 19.70%, IV rank 19.38%, expected move 5.65%. The iron condor on PDBA 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 iron condor structure on PDBA specifically: PDBA IV at 19.70% is on the cheap side of its 1-year range, which means a premium-selling PDBA 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 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated PDBA expiries trade a higher absolute premium for lower per-day decay. Position sizing on PDBA should anchor to the underlying notional of $37.13 per share and to the trader's directional view on PDBA etf.
PDBA iron condor setup
The PDBA iron condor below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With PDBA near $37.13, 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 PDBA 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 PDBA shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $39.00 | $0.37 |
| Buy 1 | Call | $41.00 | $0.09 |
| Sell 1 | Put | $35.00 | $0.23 |
| Buy 1 | Put | $33.00 | $0.03 |
PDBA iron condor risk and reward
- Net Premium / Debit
- +$48.00
- Max Profit (per contract)
- $48.00
- Max Loss (per contract)
- -$152.00
- Breakeven(s)
- $34.52, $39.48
- Risk / Reward Ratio
- 0.316
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.
PDBA iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on PDBA. 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% | -$152.00 |
| $8.22 | -77.9% | -$152.00 |
| $16.43 | -55.8% | -$152.00 |
| $24.64 | -33.7% | -$152.00 |
| $32.84 | -11.5% | -$152.00 |
| $41.05 | +10.6% | -$152.00 |
| $49.26 | +32.7% | -$152.00 |
| $57.47 | +54.8% | -$152.00 |
| $65.68 | +76.9% | -$152.00 |
| $73.89 | +99.0% | -$152.00 |
When traders use iron condor on PDBA
Iron condors on PDBA are a delta-neutral premium-collection structure that profits if PDBA etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
PDBA thesis for this iron condor
The market-implied 1-standard-deviation range for PDBA extends from approximately $35.03 on the downside to $39.23 on the upside. A PDBA iron condor is a delta-neutral premium-collection structure that pays off when PDBA 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 PDBA IV rank near 19.38% 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 PDBA at 19.70%. As a Financial Services name, PDBA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PDBA-specific events.
PDBA 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. PDBA positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move PDBA alongside the broader basket even when PDBA-specific fundamentals are unchanged. Short-premium structures like a iron condor on PDBA carry tail risk when realized volatility exceeds the implied move; review historical PDBA earnings reactions and macro stress periods before sizing. Always rebuild the position from current PDBA chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on PDBA?
- A iron condor on PDBA is the iron condor strategy applied to PDBA (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 PDBA etf trading near $37.13, the strikes shown on this page are snapped to the nearest listed PDBA chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are PDBA 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 PDBA iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 19.70%), the computed maximum profit is $48.00 per contract and the computed maximum loss is -$152.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a PDBA iron condor?
- The breakeven for the PDBA iron condor priced on this page is roughly $34.52 and $39.48 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 PDBA market-implied 1-standard-deviation expected move 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 PDBA?
- Iron condors on PDBA are a delta-neutral premium-collection structure that profits if PDBA etf stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current PDBA implied volatility affect this iron condor?
- PDBA ATM IV is at 19.70% with IV rank near 19.38%, 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.