AMG Collar Strategy
AMG (Affiliated Managers Group, Inc.), in the Financial Services sector, (Asset Management industry), listed on NYSE.
Affiliated Managers Group, Inc., through its affiliates, operates as an asset management company providing investment management services to mutual funds, institutional clients, and high net worth individuals in the United States. It provides advisory or subadvisory services to mutual funds. These funds are distributed to retail and institutional clients directly and through intermediaries, including independent investment advisors, retirement plan sponsors, broker-dealers, major fund marketplaces, and bank trust departments. The company also offers investment products in various investment styles in the institutional distribution channel, including small, small/mid, mid, and large capitalization value and growth equity, and emerging markets. In addition, it offers quantitative, alternative, and fixed income products, and manages assets for foundations and endowments, defined benefit, and defined contribution plans for corporations and municipalities. Affiliated Managers Group provides investment management or customized investment counseling and fiduciary services.
AMG (Affiliated Managers Group, Inc.) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $8.02B, a trailing P/E of 10.78, a beta of 1.14 versus the broader market, a 52-week range of 172.54-334.78, average daily share volume of 376K, a public-listing history dating back to 1997, approximately 4K full-time employees. These structural characteristics shape how AMG stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.14 places AMG roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 10.78 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. AMG pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on AMG?
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 AMG snapshot
As of May 15, 2026, spot at $296.12, ATM IV 35.00%, IV rank 58.79%, expected move 10.03%. The collar on AMG 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 AMG specifically: IV regime affects collar pricing on both sides; mid-range AMG IV at 35.00% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 10.03% (roughly $29.71 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 AMG expiries trade a higher absolute premium for lower per-day decay. Position sizing on AMG should anchor to the underlying notional of $296.12 per share and to the trader's directional view on AMG stock.
AMG collar setup
The AMG 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 AMG near $296.12, the first option leg uses a $310.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AMG 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 AMG shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $296.12 | long |
| Sell 1 | Call | $310.00 | $7.15 |
| Buy 1 | Put | $280.00 | $7.25 |
AMG collar risk and reward
- Net Premium / Debit
- -$29,622.00
- Max Profit (per contract)
- $1,378.00
- Max Loss (per contract)
- -$1,622.00
- Breakeven(s)
- $296.22
- Risk / Reward Ratio
- 0.850
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.
AMG collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on AMG. 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% | -$1,622.00 |
| $65.48 | -77.9% | -$1,622.00 |
| $130.96 | -55.8% | -$1,622.00 |
| $196.43 | -33.7% | -$1,622.00 |
| $261.90 | -11.6% | -$1,622.00 |
| $327.37 | +10.6% | +$1,378.00 |
| $392.85 | +32.7% | +$1,378.00 |
| $458.32 | +54.8% | +$1,378.00 |
| $523.79 | +76.9% | +$1,378.00 |
| $589.26 | +99.0% | +$1,378.00 |
When traders use collar on AMG
Collars on AMG hedge an existing long AMG stock 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.
AMG thesis for this collar
The market-implied 1-standard-deviation range for AMG extends from approximately $266.41 on the downside to $325.83 on the upside. A AMG collar hedges an existing long AMG 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 AMG IV rank near 58.79% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on AMG should anchor more to the directional view and the expected-move geometry. As a Financial Services name, AMG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AMG-specific events.
AMG 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. AMG positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AMG alongside the broader basket even when AMG-specific fundamentals are unchanged. Always rebuild the position from current AMG chain quotes before placing a trade.
Frequently asked questions
- What is a collar on AMG?
- A collar on AMG is the collar strategy applied to AMG (stock). 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 AMG stock trading near $296.12, the strikes shown on this page are snapped to the nearest listed AMG chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are AMG 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 AMG collar priced from the end-of-day chain at a 30-day expiry (ATM IV 35.00%), the computed maximum profit is $1,378.00 per contract and the computed maximum loss is -$1,622.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a AMG collar?
- The breakeven for the AMG collar priced on this page is roughly $296.22 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 AMG market-implied 1-standard-deviation expected move is approximately 10.03%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on AMG?
- Collars on AMG hedge an existing long AMG stock 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 AMG implied volatility affect this collar?
- AMG ATM IV is at 35.00% with IV rank near 58.79%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.