TIME Covered Call Strategy
TIME (Clockwise Capital Innovation ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.
The Clockwise Core Equity & Innovation ETF offers an adaptive approach to innovation investing, capitalizing on AI and technology trends while balancing opportunities and volatility by staying attuned to economic cycles.
TIME (Clockwise Capital Innovation ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $20.4M, a beta of 1.30 versus the broader market, a 52-week range of 22.309-27.12, average daily share volume of 4K, a public-listing history dating back to 2022. These structural characteristics shape how TIME etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.30 places TIME roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. TIME pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a covered call on TIME?
A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income.
Current TIME snapshot
As of May 15, 2026, spot at $26.80, ATM IV 36.50%, IV rank 7.13%, expected move 10.46%. The covered call on TIME 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 covered call structure on TIME specifically: TIME IV at 36.50% is on the cheap side of its 1-year range, which means a premium-selling TIME covered call collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 10.46% (roughly $2.80 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 TIME expiries trade a higher absolute premium for lower per-day decay. Position sizing on TIME should anchor to the underlying notional of $26.80 per share and to the trader's directional view on TIME etf.
TIME covered call setup
The TIME covered call below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With TIME near $26.80, the first option leg uses a $28.14 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TIME 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 TIME shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $26.80 | long |
| Sell 1 | Call | $28.14 | N/A |
TIME covered call 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 short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium.
TIME covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on TIME. 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 covered call on TIME
Covered calls on TIME are an income strategy run on existing TIME etf positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
TIME thesis for this covered call
The market-implied 1-standard-deviation range for TIME extends from approximately $24.00 on the downside to $29.60 on the upside. A TIME covered call collects premium on an existing long TIME position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether TIME will breach that level within the expiration window. Current TIME IV rank near 7.13% 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 TIME at 36.50%. As a Financial Services name, TIME options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TIME-specific events.
TIME covered call 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. TIME positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TIME alongside the broader basket even when TIME-specific fundamentals are unchanged. Short-premium structures like a covered call on TIME carry tail risk when realized volatility exceeds the implied move; review historical TIME earnings reactions and macro stress periods before sizing. Always rebuild the position from current TIME chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on TIME?
- A covered call on TIME is the covered call strategy applied to TIME (etf). The strategy is structurally neutral to slightly bullish: A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income. With TIME etf trading near $26.80, the strikes shown on this page are snapped to the nearest listed TIME chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are TIME covered call max profit and max loss calculated?
- Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium. For the TIME covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 36.50%), 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 TIME covered call?
- The breakeven for the TIME covered call 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 TIME market-implied 1-standard-deviation expected move is approximately 10.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a covered call on TIME?
- Covered calls on TIME are an income strategy run on existing TIME etf positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
- How does current TIME implied volatility affect this covered call?
- TIME ATM IV is at 36.50% with IV rank near 7.13%, 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.