UBR Cash-Secured Put Strategy
UBR (ProShares - Ultra MSCI Brazil Capped), in the Financial Services sector, (Asset Management - Leveraged industry), listed on AMEX.
The ProShares Ultra MSCI Brazil Capped fund's primary goal is to deliver daily investment returns that are double (2x) the daily performance of the MSCI Brazil 25/50 Index. These results are calculated before any fees or expenses are taken into account.
UBR (ProShares - Ultra MSCI Brazil Capped) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $3.9M, a beta of 1.01 versus the broader market, a 52-week range of 18.09-43.88, average daily share volume of 5K, a public-listing history dating back to 2010. These structural characteristics shape how UBR etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.01 places UBR roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. UBR 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 UBR?
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 UBR snapshot
As of June 30, 2026, spot at $29.41, ATM IV 40.30%, IV rank 13.15%, expected move 11.55%. The cash-secured put on UBR 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 17-day expiry.
Why this cash-secured put structure on UBR specifically: UBR IV at 40.30% is on the cheap side of its 1-year range, which means a premium-selling UBR cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 11.55% (roughly $3.40 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 UBR expiries trade a higher absolute premium for lower per-day decay. Position sizing on UBR should anchor to the underlying notional of $29.41 per share and to the trader's directional view on UBR etf.
UBR cash-secured put setup
The UBR 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 UBR near $29.41, the first option leg uses a $28.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed UBR 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 UBR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $28.00 | $1.11 |
UBR cash-secured put risk and reward
- Net Premium / Debit
- +$111.00
- Max Profit (per contract)
- $111.00
- Max Loss (per contract)
- -$2,688.00
- Breakeven(s)
- $26.89
- Risk / Reward Ratio
- 0.041
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
UBR cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on UBR. 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% | -$2,688.00 |
| $6.51 | -77.9% | -$2,037.84 |
| $13.01 | -55.8% | -$1,387.68 |
| $19.51 | -33.6% | -$737.52 |
| $26.02 | -11.5% | -$87.36 |
| $32.52 | +10.6% | +$111.00 |
| $39.02 | +32.7% | +$111.00 |
| $45.52 | +54.8% | +$111.00 |
| $52.02 | +76.9% | +$111.00 |
| $58.52 | +99.0% | +$111.00 |
When traders use cash-secured put on UBR
Cash-secured puts on UBR earn premium while a trader waits to acquire UBR etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning UBR.
UBR thesis for this cash-secured put
The market-implied 1-standard-deviation range for UBR extends from approximately $26.01 on the downside to $32.81 on the upside. A UBR cash-secured put lets a trader earn premium while waiting to acquire UBR 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 UBR IV rank near 13.15% 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 UBR at 40.30%. As a Financial Services name, UBR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to UBR-specific events.
UBR 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. UBR positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move UBR alongside the broader basket even when UBR-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on UBR carry tail risk when realized volatility exceeds the implied move; review historical UBR earnings reactions and macro stress periods before sizing. Always rebuild the position from current UBR chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on UBR?
- A cash-secured put on UBR is the cash-secured put strategy applied to UBR (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 UBR etf trading near $29.41, the strikes shown on this page are snapped to the nearest listed UBR chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are UBR 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 UBR cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 40.30%), the computed maximum profit is $111.00 per contract and the computed maximum loss is -$2,688.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a UBR cash-secured put?
- The breakeven for the UBR cash-secured put priced on this page is roughly $26.89 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 UBR market-implied 1-standard-deviation expected move is approximately 11.55%; 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 UBR?
- Cash-secured puts on UBR earn premium while a trader waits to acquire UBR etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning UBR.
- How does current UBR implied volatility affect this cash-secured put?
- UBR ATM IV is at 40.30% with IV rank near 13.15%, 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.