YOLO Cash-Secured Put Strategy

YOLO (AdvisorShares Pure Cannabis ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.

YOLO offers investors a unique pathway to the significant long-term growth prospects of the burgeoning cannabis industry. As the inaugural actively managed ETF in the U.S. dedicated exclusively to cannabis, it possesses distinct advantages. Its agile portfolio management allows for swift adjustments, a crucial capability in a dynamic marketplace that frequently experiences shifts in tradable equities and the introduction of new companies. The fund is overseen by a team with extensive capital markets experience and proven expertise in navigating highly regulated investment landscapes, including cannabis. Unlike many other cannabis-related ETFs that simply track a market-cap-weighted index, YOLO employs a disciplined, selective, and risk-managed investment strategy.

YOLO (AdvisorShares Pure Cannabis ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $27.7M, a beta of 0.87 versus the broader market, a 52-week range of 2.39-4.526, average daily share volume of 36K, a public-listing history dating back to 2019. These structural characteristics shape how YOLO etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.87 places YOLO roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. YOLO 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 YOLO?

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.

YOLO snapshot

As of August 14, 2026, spot at $2.81, ATM IV 106.60%, IV rank 19.46%, expected move 30.56%. The cash-secured put on YOLO below is built from the 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 cash-secured put structure on YOLO specifically: YOLO IV at 106.60% is on the cheap side of its 1-year range, which means a premium-selling YOLO cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 30.56% (roughly $0.86 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 YOLO expiries trade a higher absolute premium for lower per-day decay. Position sizing on YOLO should anchor to the underlying notional of $2.81 per share and to the trader's directional view on YOLO etf.

YOLO cash-secured put setup

The YOLO 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 YOLO at $2.81 on that close, the first option leg uses a $2.67 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed YOLO 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 YOLO shares for the stock leg in covered calls and collars).

ActionTypeStrike / BasisPremium (est)
Sell 1Put$2.67N/A

YOLO cash-secured put risk and reward

Net Premium / Debit
N/A
Max Profit (per contract)
Unbounded
Max Loss (per contract)
Unbounded
Breakeven(s)
None on modeled curve
Risk / Reward Ratio
N/A

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.

YOLO cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on YOLO. 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.

When traders use cash-secured put on YOLO

Cash-secured puts on YOLO earn premium while a trader waits to acquire YOLO etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning YOLO.

YOLO thesis for this cash-secured put

The market-implied 1-standard-deviation range for YOLO extends from approximately $1.95 on the downside to $3.67 on the upside. A YOLO cash-secured put lets a trader earn premium while waiting to acquire YOLO 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 YOLO IV rank near 19.46% 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 YOLO at 106.60%. As a Financial Services name, YOLO options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to YOLO-specific events.

YOLO 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. YOLO positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move YOLO alongside the broader basket even when YOLO-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on YOLO carry tail risk when realized volatility exceeds the implied move; review historical YOLO earnings reactions and macro stress periods before sizing. Always rebuild the position from current YOLO chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on YOLO?
A cash-secured put on YOLO is the cash-secured put strategy applied to YOLO (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 YOLO etf at $2.81 on the most recent close, the strikes shown on this page are snapped to the nearest listed YOLO chain strike and the premiums come straight from that session's bid/ask midpoint.
How are YOLO 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 YOLO cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 106.60%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a YOLO cash-secured put?
The breakeven for the YOLO cash-secured put priced on this page is no defined breakeven on the modeled curve at expiration, derived from the 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 YOLO market-implied 1-standard-deviation expected move in the same options snapshot is approximately 30.56%; 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 YOLO?
Cash-secured puts on YOLO earn premium while a trader waits to acquire YOLO etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning YOLO.
How does current YOLO implied volatility affect this cash-secured put?
YOLO ATM IV is at 106.60% with IV rank near 19.46%, 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.

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