QRFT Long Put Strategy
QRFT (QRAFT AI-Enhanced U.S. Large Cap ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.
The fund is an actively-managed ETF that seeks to achieve its investment objective by utilizing an investment strategy enhanced by the use of artificial intelligence. The fund invests at least 80% of its net assets, plus the amounts of any borrowings for investment purposes, in securities of U.S.-listed large capitalization companies. In pursuing its investment objective, the Adviser consults a database generated by Qraft's AI Quantitative Investment System, which automatically evaluates and filters data according to parameters supporting a particular investment thesis. The fund is non-diversified.
QRFT (QRAFT AI-Enhanced U.S. Large Cap ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $15.0M, a beta of 1.07 versus the broader market, a 52-week range of 52.5-69.255, average daily share volume of 2K, a public-listing history dating back to 2019. These structural characteristics shape how QRFT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.07 places QRFT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. QRFT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a long put on QRFT?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current QRFT snapshot
As of May 15, 2026, spot at $68.63, ATM IV 14.80%, IV rank 0.58%, expected move 4.24%. The long put on QRFT 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 63-day expiry.
Why this long put structure on QRFT specifically: QRFT IV at 14.80% is on the cheap side of its 1-year range, which favors premium-buying structures like a QRFT long put, with a market-implied 1-standard-deviation move of approximately 4.24% (roughly $2.91 on the underlying). The 63-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated QRFT expiries trade a higher absolute premium for lower per-day decay. Position sizing on QRFT should anchor to the underlying notional of $68.63 per share and to the trader's directional view on QRFT etf.
QRFT long put setup
The QRFT long put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With QRFT near $68.63, the first option leg uses a $69.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed QRFT chain at a 63-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 QRFT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $69.00 | $1.78 |
QRFT long put risk and reward
- Net Premium / Debit
- -$177.50
- Max Profit (per contract)
- $6,721.50
- Max Loss (per contract)
- -$177.50
- Breakeven(s)
- $67.23
- Risk / Reward Ratio
- 37.868
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
QRFT long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on QRFT. 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% | +$6,721.50 |
| $15.18 | -77.9% | +$5,204.16 |
| $30.36 | -55.8% | +$3,686.83 |
| $45.53 | -33.7% | +$2,169.49 |
| $60.70 | -11.5% | +$652.15 |
| $75.88 | +10.6% | -$177.50 |
| $91.05 | +32.7% | -$177.50 |
| $106.22 | +54.8% | -$177.50 |
| $121.40 | +76.9% | -$177.50 |
| $136.57 | +99.0% | -$177.50 |
When traders use long put on QRFT
Long puts on QRFT hedge an existing long QRFT etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying QRFT exposure being hedged.
QRFT thesis for this long put
The market-implied 1-standard-deviation range for QRFT extends from approximately $65.72 on the downside to $71.54 on the upside. A QRFT long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long QRFT position with one put per 100 shares held. Current QRFT IV rank near 0.58% 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 QRFT at 14.80%. As a Financial Services name, QRFT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to QRFT-specific events.
QRFT long put positions are structurally bearish; 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. QRFT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move QRFT alongside the broader basket even when QRFT-specific fundamentals are unchanged. Long-premium structures like a long put on QRFT are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current QRFT chain quotes before placing a trade.
Frequently asked questions
- What is a long put on QRFT?
- A long put on QRFT is the long put strategy applied to QRFT (etf). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With QRFT etf trading near $68.63, the strikes shown on this page are snapped to the nearest listed QRFT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are QRFT long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the QRFT long put priced from the end-of-day chain at a 30-day expiry (ATM IV 14.80%), the computed maximum profit is $6,721.50 per contract and the computed maximum loss is -$177.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a QRFT long put?
- The breakeven for the QRFT long put priced on this page is roughly $67.23 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 QRFT market-implied 1-standard-deviation expected move is approximately 4.24%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on QRFT?
- Long puts on QRFT hedge an existing long QRFT etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying QRFT exposure being hedged.
- How does current QRFT implied volatility affect this long put?
- QRFT ATM IV is at 14.80% with IV rank near 0.58%, 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.