UVXY Cash-Secured Put Strategy
UVXY (ProShares - Ultra VIX Short-Term Futures ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on CBOE.
ProShares Ultra VIX Short-Term Futures ETF seeks daily investment results, before fees and expenses, that correspond to one and one-half times (1.5x) the daily performance of the S&P 500 VIX Short-Term Futures Index.
UVXY (ProShares - Ultra VIX Short-Term Futures ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $219.4M, a beta of -3.31 versus the broader market, a 52-week range of 33.95-131, average daily share volume of 8.1M, a public-listing history dating back to 2011. These structural characteristics shape how UVXY etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -3.31 indicates UVXY has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a cash-secured put on UVXY?
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 UVXY snapshot
As of May 15, 2026, spot at $35.89, ATM IV 85.55%, IV rank 13.10%, expected move 24.53%. The cash-secured put on UVXY 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 28-day expiry.
Why this cash-secured put structure on UVXY specifically: UVXY IV at 85.55% is on the cheap side of its 1-year range, which means a premium-selling UVXY cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 24.53% (roughly $8.80 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated UVXY expiries trade a higher absolute premium for lower per-day decay. Position sizing on UVXY should anchor to the underlying notional of $35.89 per share and to the trader's directional view on UVXY etf.
UVXY cash-secured put setup
The UVXY 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 UVXY near $35.89, the first option leg uses a $34.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed UVXY chain at a 28-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 UVXY shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $34.00 | $1.79 |
UVXY cash-secured put risk and reward
- Net Premium / Debit
- +$179.00
- Max Profit (per contract)
- $179.00
- Max Loss (per contract)
- -$3,220.00
- Breakeven(s)
- $32.21
- Risk / Reward Ratio
- 0.056
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
UVXY cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on UVXY. 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% | -$3,220.00 |
| $7.94 | -77.9% | -$2,426.56 |
| $15.88 | -55.8% | -$1,633.13 |
| $23.81 | -33.6% | -$839.69 |
| $31.75 | -11.5% | -$46.25 |
| $39.68 | +10.6% | +$179.00 |
| $47.62 | +32.7% | +$179.00 |
| $55.55 | +54.8% | +$179.00 |
| $63.48 | +76.9% | +$179.00 |
| $71.42 | +99.0% | +$179.00 |
When traders use cash-secured put on UVXY
Cash-secured puts on UVXY earn premium while a trader waits to acquire UVXY etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning UVXY.
UVXY thesis for this cash-secured put
The market-implied 1-standard-deviation range for UVXY extends from approximately $27.09 on the downside to $44.69 on the upside. A UVXY cash-secured put lets a trader earn premium while waiting to acquire UVXY 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 UVXY IV rank near 13.10% 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 UVXY at 85.55%. As a Financial Services name, UVXY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to UVXY-specific events.
UVXY 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. UVXY positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move UVXY alongside the broader basket even when UVXY-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on UVXY carry tail risk when realized volatility exceeds the implied move; review historical UVXY earnings reactions and macro stress periods before sizing. Always rebuild the position from current UVXY chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on UVXY?
- A cash-secured put on UVXY is the cash-secured put strategy applied to UVXY (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 UVXY etf trading near $35.89, the strikes shown on this page are snapped to the nearest listed UVXY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are UVXY 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 UVXY cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 85.55%), the computed maximum profit is $179.00 per contract and the computed maximum loss is -$3,220.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a UVXY cash-secured put?
- The breakeven for the UVXY cash-secured put priced on this page is roughly $32.21 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 UVXY market-implied 1-standard-deviation expected move is approximately 24.53%; 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 UVXY?
- Cash-secured puts on UVXY earn premium while a trader waits to acquire UVXY etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning UVXY.
- How does current UVXY implied volatility affect this cash-secured put?
- UVXY ATM IV is at 85.55% with IV rank near 13.10%, 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.