FGRU Butterfly Strategy
FGRU (ETF Opportunities Trust - T-REX 2X Long FIGR Daily Target ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.
FGRU uses swap agreements and listed call options to make bullish bets on the share price of Figure Technology Solutions, Inc. (FIGR). The fund may also invest directly in the FIGR. Figure Technology Solutions, Inc. is a blockchain-native capital marketplace, which engages in connecting origination, funding, and secondary market activity. It operates through the following segments: FTI, Markets, and Other. The fund seeks to maintain daily leveraged exposure equivalent to 200% of the daily percentage change in FIGR price through daily rebalancing. Returns may deviate from the expected 200% if held for longer than a single day due to factors such as volatility and compounding.
FGRU (ETF Opportunities Trust - T-REX 2X Long FIGR Daily Target ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $2.5M, a beta of -1.35 versus the broader market, a 52-week range of 6.05-26.1, average daily share volume of 61K, a public-listing history dating back to 2026. These structural characteristics shape how FGRU stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -1.35 indicates FGRU 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 butterfly on FGRU?
A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.
FGRU snapshot
As of September 29, 2026, spot at $7.60, ATM IV 98.90%, IV rank 19.25%, expected move 28.35%. The butterfly on FGRU below is built from the September 29, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 80-day expiry.
Why this butterfly structure on FGRU specifically: FGRU IV at 98.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a FGRU butterfly, with a market-implied 1-standard-deviation move of approximately 28.35% (roughly $2.15 on the underlying). The 80-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated FGRU expiries trade a higher absolute premium for lower per-day decay. Position sizing on FGRU should anchor to the underlying notional of $7.60 per share and to the trader's directional view on FGRU stock.
FGRU butterfly setup
The FGRU butterfly below is built from the September 29, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With FGRU at $7.60 on that close, the first option leg uses a $7.22 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FGRU chain at a 80-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 FGRU shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $7.22 | N/A |
| Sell 2 | Call | $7.60 | N/A |
| Buy 1 | Call | $7.98 | N/A |
FGRU butterfly 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 the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.
FGRU butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on FGRU. 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 butterfly on FGRU
Butterflies on FGRU are pinning bets - traders use them when they expect FGRU to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
FGRU thesis for this butterfly
The market-implied 1-standard-deviation range for FGRU extends from approximately $5.45 on the downside to $9.75 on the upside. A FGRU long call butterfly is a pinning play: it pays maximum at the middle strike if FGRU settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current FGRU IV rank near 19.25% 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 FGRU at 98.90%. As a Financial Services name, FGRU options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FGRU-specific events.
FGRU butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. FGRU positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FGRU alongside the broader basket even when FGRU-specific fundamentals are unchanged. Always rebuild the position from current FGRU chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on FGRU?
- A butterfly on FGRU is the butterfly strategy applied to FGRU (stock). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With FGRU stock at $7.60 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed FGRU chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are FGRU butterfly max profit and max loss calculated?
- Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the FGRU butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 98.90%), 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 FGRU butterfly?
- The breakeven for the FGRU butterfly priced on this page is no defined breakeven on the modeled curve at expiration, derived from the September 29, 2026 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 FGRU market-implied 1-standard-deviation expected move in the same options snapshot is approximately 28.35%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on FGRU?
- Butterflies on FGRU are pinning bets - traders use them when they expect FGRU to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
- How does current FGRU implied volatility affect this butterfly?
- FGRU ATM IV is at 98.90% with IV rank near 19.25%, 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.