YXI Collar Strategy
YXI (ProShares - Short FTSE China 50), in the Financial Services sector, (Asset Management - Leveraged industry), listed on AMEX.
This ProShares fund aims to generate daily returns that inversely track the performance of the FTSE China 50 Index, targeting a -1x correlation on a daily basis, before factoring in any fees or expenses.
YXI (ProShares - Short FTSE China 50) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $3.0M, a beta of -0.31 versus the broader market, a 52-week range of 18.86-24.57, average daily share volume of 2K, a public-listing history dating back to 2010. These structural characteristics shape how YXI etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -0.31 indicates YXI has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. YXI pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on YXI?
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.
YXI snapshot
As of August 14, 2026, spot at $22.24, ATM IV 46.90%, IV rank 3.07%, expected move 13.45%. The collar on YXI 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 collar structure on YXI specifically: IV regime affects collar pricing on both sides; compressed YXI IV at 46.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 13.45% (roughly $2.99 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 YXI expiries trade a higher absolute premium for lower per-day decay. Position sizing on YXI should anchor to the underlying notional of $22.24 per share and to the trader's directional view on YXI etf.
YXI collar setup
The YXI 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 YXI at $22.24 on that close, the first option leg uses a $23.35 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed YXI 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 YXI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $22.24 | long |
| Sell 1 | Call | $23.35 | N/A |
| Buy 1 | Put | $21.13 | N/A |
YXI collar 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 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.
YXI collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on YXI. 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 collar on YXI
Collars on YXI hedge an existing long YXI 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.
YXI thesis for this collar
The market-implied 1-standard-deviation range for YXI extends from approximately $19.25 on the downside to $25.23 on the upside. A YXI collar hedges an existing long YXI 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 YXI IV rank near 3.07% 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 YXI at 46.90%. As a Financial Services name, YXI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to YXI-specific events.
YXI 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. YXI positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move YXI alongside the broader basket even when YXI-specific fundamentals are unchanged. Always rebuild the position from current YXI chain quotes before placing a trade.
Frequently asked questions
- What is a collar on YXI?
- A collar on YXI is the collar strategy applied to YXI (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 YXI etf at $22.24 on the most recent close, the strikes shown on this page are snapped to the nearest listed YXI chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are YXI 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 YXI collar priced from the end-of-day chain at a 30-day expiry (ATM IV 46.90%), 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 YXI collar?
- The breakeven for the YXI collar 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 YXI market-implied 1-standard-deviation expected move in the same options snapshot is approximately 13.45%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on YXI?
- Collars on YXI hedge an existing long YXI 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 YXI implied volatility affect this collar?
- YXI ATM IV is at 46.90% with IV rank near 3.07%, 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.