TDSC Cash-Secured Put Strategy

TDSC (ETC Cabana Target Drawdown 10 ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.

The fund is an actively managed exchange-traded fund (“ETF”) that seeks to achieve its investment objective with limited volatility and reduced correlation to the overall performance of the equity markets by allocating its assets among the following five major asset classes – equities, fixed income securities, real estate, currencies, and commodities. The Sub-Adviser’s target drawdown for the fund is 10%; however, there can be no assurance, and the fund, the Adviser, and the Sub-Adviser do not represent or guarantee, that this target will be maintained.

TDSC (ETC Cabana Target Drawdown 10 ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $102.6M, a beta of 0.74 versus the broader market, a 52-week range of 23.61-27.67, average daily share volume of 12K, a public-listing history dating back to 2020. These structural characteristics shape how TDSC etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.74 places TDSC roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. TDSC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a cash-secured put on TDSC?

A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.

Current TDSC snapshot

As of May 15, 2026, spot at $27.48, ATM IV 25.00%, IV rank 21.65%, expected move 7.17%. The cash-secured put on TDSC 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 cash-secured put structure on TDSC specifically: TDSC IV at 25.00% is on the cheap side of its 1-year range, which means a premium-selling TDSC cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 7.17% (roughly $1.97 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 TDSC expiries trade a higher absolute premium for lower per-day decay. Position sizing on TDSC should anchor to the underlying notional of $27.48 per share and to the trader's directional view on TDSC etf.

TDSC cash-secured put setup

The TDSC cash-secured 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 TDSC near $27.48, the first option leg uses a $26.11 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TDSC 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 TDSC shares for the stock leg in covered calls and collars).

ActionTypeStrike / BasisPremium (est)
Sell 1Put$26.11N/A

TDSC cash-secured 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 premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.

TDSC cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on TDSC. 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 cash-secured put on TDSC

Cash-secured puts on TDSC earn premium while a trader waits to acquire TDSC etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning TDSC.

TDSC thesis for this cash-secured put

The market-implied 1-standard-deviation range for TDSC extends from approximately $25.51 on the downside to $29.45 on the upside. A TDSC cash-secured put lets a trader earn premium while waiting to acquire TDSC at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current TDSC IV rank near 21.65% 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 TDSC at 25.00%. As a Financial Services name, TDSC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TDSC-specific events.

TDSC cash-secured put positions are structurally neutral to slightly bullish; 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. TDSC positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TDSC alongside the broader basket even when TDSC-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on TDSC carry tail risk when realized volatility exceeds the implied move; review historical TDSC earnings reactions and macro stress periods before sizing. Always rebuild the position from current TDSC chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on TDSC?
A cash-secured put on TDSC is the cash-secured put strategy applied to TDSC (etf). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With TDSC etf trading near $27.48, the strikes shown on this page are snapped to the nearest listed TDSC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are TDSC cash-secured put max profit and max loss calculated?
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the TDSC cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 25.00%), 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 TDSC cash-secured put?
The breakeven for the TDSC cash-secured 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 TDSC market-implied 1-standard-deviation expected move is approximately 7.17%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a cash-secured put on TDSC?
Cash-secured puts on TDSC earn premium while a trader waits to acquire TDSC etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning TDSC.
How does current TDSC implied volatility affect this cash-secured put?
TDSC ATM IV is at 25.00% with IV rank near 21.65%, 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.

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