ROBT Long Put Strategy
ROBT (First Trust Nasdaq Artificial Intelligence and Robotics ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The First Trust Nasdaq Artificial Intelligence and Robotics ETF (the "Fund"), seeks investment results that correspond generally to the price and yield (before the Fund's fees and expenses) of an index called the Nasdaq CTA Artificial Intelligence and Robotics Index (the "Index"). The Fund will normally invest at least 90% of its net assets (including investment borrowings) in common stocks and depositary receipts that comprise the Index. The Index is designed to track the performance of companies engaged in the artificial intelligence ("AI") and robotics segments of the technology, industrial and other economic sectors.
ROBT (First Trust Nasdaq Artificial Intelligence and Robotics ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $678.5M, a beta of 1.40 versus the broader market, a 52-week range of 43.55-56.64, average daily share volume of 74K, a public-listing history dating back to 2018. These structural characteristics shape how ROBT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.40 indicates ROBT has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. ROBT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a long put on ROBT?
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 ROBT snapshot
As of May 15, 2026, spot at $54.20, ATM IV 28.10%, IV rank 50.00%, expected move 8.06%. The long put on ROBT 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 long put structure on ROBT specifically: ROBT IV at 28.10% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 8.06% (roughly $4.37 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 ROBT expiries trade a higher absolute premium for lower per-day decay. Position sizing on ROBT should anchor to the underlying notional of $54.20 per share and to the trader's directional view on ROBT etf.
ROBT long put setup
The ROBT 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 ROBT near $54.20, the first option leg uses a $54.20 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ROBT 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 ROBT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $54.20 | N/A |
ROBT long put risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
ROBT long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on ROBT. 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.
When traders use long put on ROBT
Long puts on ROBT hedge an existing long ROBT etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying ROBT exposure being hedged.
ROBT thesis for this long put
The market-implied 1-standard-deviation range for ROBT extends from approximately $49.83 on the downside to $58.57 on the upside. A ROBT long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long ROBT position with one put per 100 shares held. Current ROBT IV rank near 50.00% is mid-range against its 1-year distribution, so the IV signal is neutral; the long put thesis on ROBT should anchor more to the directional view and the expected-move geometry. As a Financial Services name, ROBT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ROBT-specific events.
ROBT 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. ROBT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ROBT alongside the broader basket even when ROBT-specific fundamentals are unchanged. Long-premium structures like a long put on ROBT 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 ROBT chain quotes before placing a trade.
Frequently asked questions
- What is a long put on ROBT?
- A long put on ROBT is the long put strategy applied to ROBT (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 ROBT etf trading near $54.20, the strikes shown on this page are snapped to the nearest listed ROBT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ROBT 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 ROBT long put priced from the end-of-day chain at a 30-day expiry (ATM IV 28.10%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ROBT long put?
- The breakeven for the ROBT long put priced on this page is no defined breakeven on the modeled curve 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 ROBT market-implied 1-standard-deviation expected move is approximately 8.06%; 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 ROBT?
- Long puts on ROBT hedge an existing long ROBT etf position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying ROBT exposure being hedged.
- How does current ROBT implied volatility affect this long put?
- ROBT ATM IV is at 28.10% with IV rank near 50.00%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.