STXX Collar Strategy
STXX (Investment Managers Series Trust II - Tradr 2X Long STX Daily ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.
STXX is a short-term tactical tool that aims to deliver twice (200%) the daily performance of Seagate Technology Holdings plc (STX), before fees and expenses. The fund primarily enters into total return swap agreements with major global financial institutions that mirror STXs daily returns. In case swaps are unavailable or less efficient, the fund may use FLEX call options or directly hold STX stock. Purchasers holding shares for longer than a day will need to monitor and rebalance their position frequently to attempt to achieve the 2x multiple. Purchasers should conduct their own individual stock research prior to initiating a position and trade with conviction. Due to the complexities of the product, shares tend to perform as anticipated only when the underlying shares are trending, and holders are on the positive corresponding side of that trade.
STXX (Investment Managers Series Trust II - Tradr 2X Long STX Daily ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $14.6M, a beta of 9.92 versus the broader market, a 52-week range of 22.23-86.89, average daily share volume of 85K, a public-listing history dating back to 2026. These structural characteristics shape how STXX etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 9.92 indicates STXX has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a collar on STXX?
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.
STXX snapshot
As of September 29, 2026, spot at $45.23, ATM IV 129.90%, expected move 37.24%. The collar on STXX below is built from the September 29, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 17-day expiry.
Why this collar structure on STXX specifically: IV rank is unavailable in the current snapshot, so regime-based timing for STXX is inferred from ATM IV at 129.90% alone, with a market-implied 1-standard-deviation move of approximately 37.24% (roughly $16.84 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated STXX expiries trade a higher absolute premium for lower per-day decay. Position sizing on STXX should anchor to the underlying notional of $45.23 per share and to the trader's directional view on STXX etf.
STXX collar setup
The STXX collar below is built from the September 29, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With STXX at $45.23 on that close, the first option leg uses a $47.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed STXX chain at a 17-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 STXX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $45.23 | long |
| Sell 1 | Call | $47.00 | $4.13 |
| Buy 1 | Put | $43.00 | $4.03 |
STXX collar risk and reward
- Net Premium / Debit
- -$4,513.00
- Max Profit (per contract)
- $187.00
- Max Loss (per contract)
- -$213.00
- Breakeven(s)
- $45.13
- Risk / Reward Ratio
- 0.878
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.
STXX collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on STXX. 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% | -$213.00 |
| $10.01 | -77.9% | -$213.00 |
| $20.01 | -55.8% | -$213.00 |
| $30.01 | -33.7% | -$213.00 |
| $40.01 | -11.5% | -$213.00 |
| $50.01 | +10.6% | +$187.00 |
| $60.01 | +32.7% | +$187.00 |
| $70.01 | +54.8% | +$187.00 |
| $80.01 | +76.9% | +$187.00 |
| $90.01 | +99.0% | +$187.00 |
When traders use collar on STXX
Collars on STXX hedge an existing long STXX 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.
STXX thesis for this collar
The market-implied 1-standard-deviation range for STXX extends from approximately $28.39 on the downside to $62.07 on the upside. A STXX collar hedges an existing long STXX 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. As a Financial Services name, STXX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to STXX-specific events.
STXX 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. STXX positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move STXX alongside the broader basket even when STXX-specific fundamentals are unchanged. Always rebuild the position from current STXX chain quotes before placing a trade.
Frequently asked questions
- What is a collar on STXX?
- A collar on STXX is the collar strategy applied to STXX (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 STXX etf at $45.23 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed STXX chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are STXX 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 STXX collar priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 129.90%), the computed maximum profit is $187.00 per contract and the computed maximum loss is -$213.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a STXX collar?
- The breakeven for the STXX collar priced on this page is roughly $45.13 at expiration, derived from the September 29, 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 STXX market-implied 1-standard-deviation expected move in the same options snapshot is approximately 37.24%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on STXX?
- Collars on STXX hedge an existing long STXX 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 STXX implied volatility affect this collar?
- Current STXX ATM IV is 129.90%; IV rank context is unavailable in the current snapshot.