SDIV Collar Strategy
SDIV (Global X - SuperDividend ETF), in the Financial Services sector, (Asset Management - Income industry), listed on AMEX.
The Global X SuperDividend ETF (SDIV) aims to deliver financial returns that closely mirror both the price movements and dividend income generated by the Solactive Global SuperDividend Index. This performance objective is measured before any deductions for the ETF's own operational fees and expenses.
SDIV (Global X - SuperDividend ETF) trades in the Financial Services sector, specifically Asset Management - Income, with a market capitalization of approximately $1.26B, a beta of 0.68 versus the broader market, a 52-week range of 22.32-26.44, average daily share volume of 475K, a public-listing history dating back to 2011. These structural characteristics shape how SDIV etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.68 indicates SDIV has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. SDIV pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on SDIV?
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.
Current SDIV snapshot
As of June 29, 2026, spot at $24.43, ATM IV 412.90%, IV rank 82.94%, expected move 118.38%. The collar on SDIV 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 18-day expiry.
Why this collar structure on SDIV specifically: IV regime affects collar pricing on both sides; elevated SDIV IV at 412.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 118.38% (roughly $28.92 on the underlying). The 18-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated SDIV expiries trade a higher absolute premium for lower per-day decay. Position sizing on SDIV should anchor to the underlying notional of $24.43 per share and to the trader's directional view on SDIV etf.
SDIV collar setup
The SDIV collar below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With SDIV near $24.43, the first option leg uses a $26.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SDIV chain at a 18-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 SDIV shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $24.43 | long |
| Sell 1 | Call | $26.00 | $0.08 |
| Buy 1 | Put | $23.00 | $0.12 |
SDIV collar risk and reward
- Net Premium / Debit
- -$2,447.00
- Max Profit (per contract)
- $153.00
- Max Loss (per contract)
- -$147.00
- Breakeven(s)
- $24.47
- Risk / Reward Ratio
- 1.041
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.
SDIV collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on SDIV. 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% | -$147.00 |
| $5.41 | -77.9% | -$147.00 |
| $10.81 | -55.7% | -$147.00 |
| $16.21 | -33.6% | -$147.00 |
| $21.61 | -11.5% | -$147.00 |
| $27.01 | +10.6% | +$153.00 |
| $32.41 | +32.7% | +$153.00 |
| $37.81 | +54.8% | +$153.00 |
| $43.21 | +76.9% | +$153.00 |
| $48.61 | +99.0% | +$153.00 |
When traders use collar on SDIV
Collars on SDIV hedge an existing long SDIV 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.
SDIV thesis for this collar
The market-implied 1-standard-deviation range for SDIV extends from approximately $-4.49 on the downside to $53.35 on the upside. A SDIV collar hedges an existing long SDIV 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 SDIV IV rank near 82.94% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on SDIV at 412.90%. As a Financial Services name, SDIV options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SDIV-specific events.
SDIV 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. SDIV positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SDIV alongside the broader basket even when SDIV-specific fundamentals are unchanged. Always rebuild the position from current SDIV chain quotes before placing a trade.
Frequently asked questions
- What is a collar on SDIV?
- A collar on SDIV is the collar strategy applied to SDIV (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 SDIV etf trading near $24.43, the strikes shown on this page are snapped to the nearest listed SDIV chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SDIV 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 SDIV collar priced from the end-of-day chain at a 30-day expiry (ATM IV 412.90%), the computed maximum profit is $153.00 per contract and the computed maximum loss is -$147.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SDIV collar?
- The breakeven for the SDIV collar priced on this page is roughly $24.47 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 SDIV market-implied 1-standard-deviation expected move is approximately 118.38%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on SDIV?
- Collars on SDIV hedge an existing long SDIV 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 SDIV implied volatility affect this collar?
- SDIV ATM IV is at 412.90% with IV rank near 82.94%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.