UFOX Collar Strategy
UFOX (Defiance Space and Connective Tech ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The U.S. Global GO GOLD and Precious Metal Miners ETF (UFOX) provides investors access to companies involved in the production of precious metals. The fund focuses on companies engaged in active mining or those holding royalty interests. It also maintains a strategic allocation to physical gold.
UFOX (Defiance Space and Connective Tech ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $755.4M, a beta of 1.58 versus the broader market, a 52-week range of 75.71-106.7199, average daily share volume of 44K, a public-listing history dating back to 2019. These structural characteristics shape how UFOX etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.58 indicates UFOX has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. UFOX pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on UFOX?
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.
UFOX snapshot
As of August 14, 2026, spot at $87.73, ATM IV 32.90%, IV rank 58.45%, expected move 9.43%. The collar on UFOX below is built from the August 14, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this collar structure on UFOX specifically: IV regime affects collar pricing on both sides; mid-range UFOX IV at 32.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 9.43% (roughly $8.27 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated UFOX expiries trade a higher absolute premium for lower per-day decay. Position sizing on UFOX should anchor to the underlying notional of $87.73 per share and to the trader's directional view on UFOX etf.
UFOX collar setup
The UFOX collar below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With UFOX at $87.73 on that close, the first option leg uses a $92.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed UFOX chain at a 35-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 UFOX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $87.73 | long |
| Sell 1 | Call | $92.00 | $1.85 |
| Buy 1 | Put | $83.00 | $1.82 |
UFOX collar risk and reward
- Net Premium / Debit
- -$8,770.00
- Max Profit (per contract)
- $430.00
- Max Loss (per contract)
- -$470.00
- Breakeven(s)
- $87.70
- Risk / Reward Ratio
- 0.915
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.
UFOX collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on UFOX. 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% | -$470.00 |
| $19.41 | -77.9% | -$470.00 |
| $38.80 | -55.8% | -$470.00 |
| $58.20 | -33.7% | -$470.00 |
| $77.60 | -11.6% | -$470.00 |
| $96.99 | +10.6% | +$430.00 |
| $116.39 | +32.7% | +$430.00 |
| $135.79 | +54.8% | +$430.00 |
| $155.18 | +76.9% | +$430.00 |
| $174.58 | +99.0% | +$430.00 |
When traders use collar on UFOX
Collars on UFOX hedge an existing long UFOX 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.
UFOX thesis for this collar
The market-implied 1-standard-deviation range for UFOX extends from approximately $79.46 on the downside to $96.00 on the upside. A UFOX collar hedges an existing long UFOX 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 UFOX IV rank near 58.45% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on UFOX should anchor more to the directional view and the expected-move geometry. As a Financial Services name, UFOX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to UFOX-specific events.
UFOX 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. UFOX positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move UFOX alongside the broader basket even when UFOX-specific fundamentals are unchanged. Always rebuild the position from current UFOX chain quotes before placing a trade.
Frequently asked questions
- What is a collar on UFOX?
- A collar on UFOX is the collar strategy applied to UFOX (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 UFOX etf at $87.73 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed UFOX chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are UFOX 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 UFOX collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 32.90%), the computed maximum profit is $430.00 per contract and the computed maximum loss is -$470.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a UFOX collar?
- The breakeven for the UFOX collar priced on this page is roughly $87.70 at expiration, derived from the August 14, 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 UFOX market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.43%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on UFOX?
- Collars on UFOX hedge an existing long UFOX 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 UFOX implied volatility affect this collar?
- UFOX ATM IV is at 32.90% with IV rank near 58.45%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.