QNXT Butterfly Strategy
QNXT (iShares Nasdaq-100 ex Top 30 ETF), in the Financial Services sector, (Asset Management - Global industry), listed on NASDAQ.
The iShares Nasdaq-100 ex Top 30 ETF aims to replicate the returns of an index that is specifically curated to include companies ranked from the 31st to the 100th largest by market capitalization. These companies are drawn from the wider Nasdaq-100 Index, meaning the ETF intentionally bypasses the very top 30 largest constituents.
QNXT (iShares Nasdaq-100 ex Top 30 ETF) trades in the Financial Services sector, specifically Asset Management - Global, with a market capitalization of approximately $29.2M, a beta of 1.10 versus the broader market, a 52-week range of 25.51-32.59, average daily share volume of 6K, a public-listing history dating back to 2024. These structural characteristics shape how QNXT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.10 places QNXT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. QNXT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a butterfly on QNXT?
A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.
QNXT snapshot
As of August 14, 2026, spot at $32.41, ATM IV 24.00%, IV rank 2.61%, expected move 6.88%. The butterfly on QNXT 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 butterfly structure on QNXT specifically: QNXT IV at 24.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a QNXT butterfly, with a market-implied 1-standard-deviation move of approximately 6.88% (roughly $2.23 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 QNXT expiries trade a higher absolute premium for lower per-day decay. Position sizing on QNXT should anchor to the underlying notional of $32.41 per share and to the trader's directional view on QNXT etf.
QNXT butterfly setup
The QNXT butterfly 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 QNXT at $32.41 on that close, the first option leg uses a $31.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed QNXT 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 QNXT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $31.00 | $1.73 |
| Sell 2 | Call | $32.00 | $1.21 |
| Buy 1 | Call | $34.00 | $0.41 |
QNXT butterfly risk and reward
- Net Premium / Debit
- +$28.50
- Max Profit (per contract)
- $121.15
- Max Loss (per contract)
- -$71.50
- Breakeven(s)
- $33.29
- Risk / Reward Ratio
- 1.694
Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.
QNXT butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on QNXT. 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% | +$28.50 |
| $7.17 | -77.9% | +$28.50 |
| $14.34 | -55.8% | +$28.50 |
| $21.50 | -33.6% | +$28.50 |
| $28.67 | -11.5% | +$28.50 |
| $35.83 | +10.6% | -$71.50 |
| $43.00 | +32.7% | -$71.50 |
| $50.16 | +54.8% | -$71.50 |
| $57.33 | +76.9% | -$71.50 |
| $64.49 | +99.0% | -$71.50 |
When traders use butterfly on QNXT
Butterflies on QNXT are pinning bets - traders use them when they expect QNXT to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
QNXT thesis for this butterfly
The market-implied 1-standard-deviation range for QNXT extends from approximately $30.18 on the downside to $34.64 on the upside. A QNXT long call butterfly is a pinning play: it pays maximum at the middle strike if QNXT settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current QNXT IV rank near 2.61% 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 QNXT at 24.00%. As a Financial Services name, QNXT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to QNXT-specific events.
QNXT butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. QNXT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move QNXT alongside the broader basket even when QNXT-specific fundamentals are unchanged. Always rebuild the position from current QNXT chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on QNXT?
- A butterfly on QNXT is the butterfly strategy applied to QNXT (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With QNXT etf at $32.41 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed QNXT chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are QNXT butterfly max profit and max loss calculated?
- Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the QNXT butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 24.00%), the computed maximum profit is $121.15 per contract and the computed maximum loss is -$71.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a QNXT butterfly?
- The breakeven for the QNXT butterfly priced on this page is roughly $33.29 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 QNXT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 6.88%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on QNXT?
- Butterflies on QNXT are pinning bets - traders use them when they expect QNXT to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
- How does current QNXT implied volatility affect this butterfly?
- QNXT ATM IV is at 24.00% with IV rank near 2.61%, 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.