RPG Collar Strategy
RPG (Invesco S&P 500 Pure Growth ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.
The fund is based on the S&P 500 Pure Growth Index, which measures the performance of securities in the S&P 500 Index that exhibit strong growth characteristics. The fund will generally invest at least 90% of its total assets in the securities that comprise the index.
RPG (Invesco S&P 500 Pure Growth ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $2.38B, a beta of 1.22 versus the broader market, a 52-week range of 43.41-64.06, average daily share volume of 578K, a public-listing history dating back to 2006. These structural characteristics shape how RPG etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.22 places RPG roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. RPG pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on RPG?
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.
RPG snapshot
As of September 30, 2026, spot at $58.58, ATM IV 26.60%, IV rank 23.77%, expected move 7.63%. The collar on RPG below is built from the September 30, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 16-day expiry.
Why this collar structure on RPG specifically: IV regime affects collar pricing on both sides; compressed RPG IV at 26.60% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 7.63% (roughly $4.47 on the underlying). The 16-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated RPG expiries trade a higher absolute premium for lower per-day decay. Position sizing on RPG should anchor to the underlying notional of $58.58 per share and to the trader's directional view on RPG etf.
RPG collar setup
The RPG collar below is built from the September 30, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With RPG at $58.58 on that close, the first option leg uses a $62.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed RPG chain at a 16-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 RPG shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $58.58 | long |
| Sell 1 | Call | $62.00 | $0.30 |
| Buy 1 | Put | $56.00 | $0.39 |
RPG collar risk and reward
- Net Premium / Debit
- -$5,867.00
- Max Profit (per contract)
- $333.00
- Max Loss (per contract)
- -$267.00
- Breakeven(s)
- $58.67
- Risk / Reward Ratio
- 1.247
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.
RPG collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on RPG. 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% | -$267.00 |
| $12.96 | -77.9% | -$267.00 |
| $25.91 | -55.8% | -$267.00 |
| $38.86 | -33.7% | -$267.00 |
| $51.82 | -11.5% | -$267.00 |
| $64.77 | +10.6% | +$333.00 |
| $77.72 | +32.7% | +$333.00 |
| $90.67 | +54.8% | +$333.00 |
| $103.62 | +76.9% | +$333.00 |
| $116.57 | +99.0% | +$333.00 |
When traders use collar on RPG
Collars on RPG hedge an existing long RPG 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.
RPG thesis for this collar
The market-implied 1-standard-deviation range for RPG extends from approximately $54.11 on the downside to $63.05 on the upside. A RPG collar hedges an existing long RPG 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. Current RPG IV rank near 23.77% 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 RPG at 26.60%. As a Financial Services name, RPG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to RPG-specific events.
RPG 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. RPG positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move RPG alongside the broader basket even when RPG-specific fundamentals are unchanged. Always rebuild the position from current RPG chain quotes before placing a trade.
Frequently asked questions
- What is a collar on RPG?
- A collar on RPG is the collar strategy applied to RPG (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 RPG etf at $58.58 on the September 30, 2026 close, the strikes shown on this page are snapped to the nearest listed RPG chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are RPG 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 RPG collar priced from the September 30, 2026 end-of-day chain at a 30-day expiry (ATM IV 26.60%), the computed maximum profit is $333.00 per contract and the computed maximum loss is -$267.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a RPG collar?
- The breakeven for the RPG collar priced on this page is roughly $58.67 at expiration, derived from the September 30, 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 RPG market-implied 1-standard-deviation expected move in the same options snapshot is approximately 7.63%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on RPG?
- Collars on RPG hedge an existing long RPG 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 RPG implied volatility affect this collar?
- RPG ATM IV is at 26.60% with IV rank near 23.77%, 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.