XDAT Collar Strategy
XDAT (Franklin Exponential Data ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.
The fund seeks capital appreciation by investing in equity securities inside and outside of the United States, including developing or emerging markets. The fund invests in companies that are relevant to its investment theme of exponential data that the investment manager believes will benefit from the use of large data sets and/or the growth of data.
XDAT (Franklin Exponential Data ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $3.4M, a beta of 1.09 versus the broader market, a 52-week range of 20.15-28.78, average daily share volume of 1K, a public-listing history dating back to 2021. These structural characteristics shape how XDAT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.09 places XDAT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. XDAT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on XDAT?
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.
Current XDAT snapshot
As of May 15, 2026, spot at $23.76, ATM IV 30.70%, IV rank 6.55%, expected move 8.80%. The collar on XDAT 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 collar structure on XDAT specifically: IV regime affects collar pricing on both sides; compressed XDAT IV at 30.70% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 8.80% (roughly $2.09 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 XDAT expiries trade a higher absolute premium for lower per-day decay. Position sizing on XDAT should anchor to the underlying notional of $23.76 per share and to the trader's directional view on XDAT etf.
XDAT collar setup
The XDAT collar below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With XDAT near $23.76, the first option leg uses a $25.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed XDAT 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 XDAT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $23.76 | long |
| Sell 1 | Call | $25.00 | $0.42 |
| Buy 1 | Put | $23.00 | $0.46 |
XDAT collar risk and reward
- Net Premium / Debit
- -$2,380.00
- Max Profit (per contract)
- $120.00
- Max Loss (per contract)
- -$80.00
- Breakeven(s)
- $23.80
- Risk / Reward Ratio
- 1.500
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.
XDAT collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on XDAT. 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% | -$80.00 |
| $5.26 | -77.9% | -$80.00 |
| $10.51 | -55.7% | -$80.00 |
| $15.77 | -33.6% | -$80.00 |
| $21.02 | -11.5% | -$80.00 |
| $26.27 | +10.6% | +$120.00 |
| $31.52 | +32.7% | +$120.00 |
| $36.78 | +54.8% | +$120.00 |
| $42.03 | +76.9% | +$120.00 |
| $47.28 | +99.0% | +$120.00 |
When traders use collar on XDAT
Collars on XDAT hedge an existing long XDAT 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.
XDAT thesis for this collar
The market-implied 1-standard-deviation range for XDAT extends from approximately $21.67 on the downside to $25.85 on the upside. A XDAT collar hedges an existing long XDAT 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 XDAT IV rank near 6.55% 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 XDAT at 30.70%. As a Financial Services name, XDAT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to XDAT-specific events.
XDAT 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. XDAT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move XDAT alongside the broader basket even when XDAT-specific fundamentals are unchanged. Always rebuild the position from current XDAT chain quotes before placing a trade.
Frequently asked questions
- What is a collar on XDAT?
- A collar on XDAT is the collar strategy applied to XDAT (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 XDAT etf trading near $23.76, the strikes shown on this page are snapped to the nearest listed XDAT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are XDAT 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 XDAT collar priced from the end-of-day chain at a 30-day expiry (ATM IV 30.70%), the computed maximum profit is $120.00 per contract and the computed maximum loss is -$80.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a XDAT collar?
- The breakeven for the XDAT collar priced on this page is roughly $23.80 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 XDAT market-implied 1-standard-deviation expected move is approximately 8.80%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on XDAT?
- Collars on XDAT hedge an existing long XDAT 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 XDAT implied volatility affect this collar?
- XDAT ATM IV is at 30.70% with IV rank near 6.55%, 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.