UNHG Butterfly Strategy
UNHG (Leverage Shares 2x Long UNH Daily ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The Fund seeks daily leveraged investment results and is very different from most other exchange-traded funds. The fund is an exchange traded fund that seeks daily levered investment results, before fees and expenses, of two times (200%) of the daily percentage change in the price of the common stock of UNH.
UNHG (Leverage Shares 2x Long UNH Daily ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $115.4M, a beta of 5.63 versus the broader market, a 52-week range of 9.145-27.59, average daily share volume of 1.0M, a public-listing history dating back to 2025. These structural characteristics shape how UNHG etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 5.63 indicates UNHG 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 butterfly on UNHG?
A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.
UNHG snapshot
As of August 14, 2026, spot at $20.83, ATM IV 51.00%, IV rank 0.47%, expected move 14.62%. The butterfly on UNHG 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 butterfly structure on UNHG specifically: UNHG IV at 51.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a UNHG butterfly, with a market-implied 1-standard-deviation move of approximately 14.62% (roughly $3.05 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 UNHG expiries trade a higher absolute premium for lower per-day decay. Position sizing on UNHG should anchor to the underlying notional of $20.83 per share and to the trader's directional view on UNHG etf.
UNHG butterfly setup
The UNHG butterfly 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 UNHG at $20.83 on that close, the first option leg uses a $20.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed UNHG 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 UNHG shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $20.00 | $1.73 |
| Sell 2 | Call | $21.00 | $1.18 |
| Buy 1 | Call | $22.00 | $0.80 |
UNHG butterfly risk and reward
- Net Premium / Debit
- -$17.50
- Max Profit (per contract)
- $76.46
- Max Loss (per contract)
- -$17.50
- Breakeven(s)
- $20.18, $21.83
- Risk / Reward Ratio
- 4.369
Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.
UNHG butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on UNHG. 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% | -$17.50 |
| $4.61 | -77.8% | -$17.50 |
| $9.22 | -55.7% | -$17.50 |
| $13.82 | -33.6% | -$17.50 |
| $18.43 | -11.5% | -$17.50 |
| $23.03 | +10.6% | -$17.50 |
| $27.64 | +32.7% | -$17.50 |
| $32.24 | +54.8% | -$17.50 |
| $36.85 | +76.9% | -$17.50 |
| $41.45 | +99.0% | -$17.50 |
When traders use butterfly on UNHG
Butterflies on UNHG are pinning bets - traders use them when they expect UNHG to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
UNHG thesis for this butterfly
The market-implied 1-standard-deviation range for UNHG extends from approximately $17.78 on the downside to $23.88 on the upside. A UNHG long call butterfly is a pinning play: it pays maximum at the middle strike if UNHG settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current UNHG IV rank near 0.47% 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 UNHG at 51.00%. As a Financial Services name, UNHG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to UNHG-specific events.
UNHG butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. UNHG positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move UNHG alongside the broader basket even when UNHG-specific fundamentals are unchanged. Always rebuild the position from current UNHG chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on UNHG?
- A butterfly on UNHG is the butterfly strategy applied to UNHG (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With UNHG etf at $20.83 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed UNHG chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are UNHG butterfly max profit and max loss calculated?
- Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the UNHG butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 51.00%), the computed maximum profit is $76.46 per contract and the computed maximum loss is -$17.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a UNHG butterfly?
- The breakeven for the UNHG butterfly priced on this page is roughly $20.18 and $21.83 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 UNHG market-implied 1-standard-deviation expected move in the same options snapshot is approximately 14.62%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on UNHG?
- Butterflies on UNHG are pinning bets - traders use them when they expect UNHG to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
- How does current UNHG implied volatility affect this butterfly?
- UNHG ATM IV is at 51.00% with IV rank near 0.47%, 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.