FSV Collar Strategy
FSV (FirstService Corporation), in the Real Estate sector, (Real Estate - Services industry), listed on NASDAQ.
FirstService Corporation, together with its subsidiaries, provides residential property management and other essential property services to residential and commercial customers in the United States and Canada. The company operates in two segments, FirstService Residential and FirstService Brands. The FirstService Residential segment offers property management services for private residential communities, such as condominiums, co-operatives, homeowner associations, master-planned communities, active adult and lifestyle communities, and various other residential developments. This segment also provides a range of ancillary services, including on-site staffing for building engineering and maintenance, full-service swimming pool and amenity management, and security and concierge/front desk; and financial services comprising cash management, other banking transaction-related, and specialized property insurance brokerage. In addition, this segment offers energy management solutions and advisory services, and resale processing services. The FirstService Brands segment operates and provides essential property services to residential and commercial customers, through five franchise networks; and company-owned locations, including 20 California Closets, 12 Paul Davis Restoration, and 1 CertaPro Painters locations.
FSV (FirstService Corporation) trades in the Real Estate sector, specifically Real Estate - Services, with a market capitalization of approximately $5.94B, a trailing P/E of 36.37, a beta of 0.91 versus the broader market, a 52-week range of 124.37-209.66, average daily share volume of 198K, a public-listing history dating back to 2015, approximately 30K full-time employees. These structural characteristics shape how FSV stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.91 places FSV roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 36.37 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple. FSV pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on FSV?
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 FSV snapshot
As of May 15, 2026, spot at $129.75, ATM IV 27.70%, IV rank 3.58%, expected move 7.94%. The collar on FSV 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 FSV specifically: IV regime affects collar pricing on both sides; compressed FSV IV at 27.70% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 7.94% (roughly $10.30 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 FSV expiries trade a higher absolute premium for lower per-day decay. Position sizing on FSV should anchor to the underlying notional of $129.75 per share and to the trader's directional view on FSV stock.
FSV collar setup
The FSV 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 FSV near $129.75, the first option leg uses a $135.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FSV 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 FSV shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $129.75 | long |
| Sell 1 | Call | $135.00 | $2.38 |
| Buy 1 | Put | $125.00 | $2.70 |
FSV collar risk and reward
- Net Premium / Debit
- -$13,007.00
- Max Profit (per contract)
- $493.00
- Max Loss (per contract)
- -$507.00
- Breakeven(s)
- $130.07
- Risk / Reward Ratio
- 0.972
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.
FSV collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on FSV. 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% | -$507.00 |
| $28.70 | -77.9% | -$507.00 |
| $57.38 | -55.8% | -$507.00 |
| $86.07 | -33.7% | -$507.00 |
| $114.76 | -11.6% | -$507.00 |
| $143.45 | +10.6% | +$493.00 |
| $172.13 | +32.7% | +$493.00 |
| $200.82 | +54.8% | +$493.00 |
| $229.51 | +76.9% | +$493.00 |
| $258.20 | +99.0% | +$493.00 |
When traders use collar on FSV
Collars on FSV hedge an existing long FSV 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.
FSV thesis for this collar
The market-implied 1-standard-deviation range for FSV extends from approximately $119.45 on the downside to $140.05 on the upside. A FSV collar hedges an existing long FSV 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 FSV IV rank near 3.58% 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 FSV at 27.70%. As a Real Estate name, FSV options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FSV-specific events.
FSV 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. FSV positions also carry Real Estate sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FSV alongside the broader basket even when FSV-specific fundamentals are unchanged. Always rebuild the position from current FSV chain quotes before placing a trade.
Frequently asked questions
- What is a collar on FSV?
- A collar on FSV is the collar strategy applied to FSV (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 FSV stock trading near $129.75, the strikes shown on this page are snapped to the nearest listed FSV chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are FSV 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 FSV collar priced from the end-of-day chain at a 30-day expiry (ATM IV 27.70%), the computed maximum profit is $493.00 per contract and the computed maximum loss is -$507.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a FSV collar?
- The breakeven for the FSV collar priced on this page is roughly $130.07 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 FSV market-implied 1-standard-deviation expected move is approximately 7.94%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on FSV?
- Collars on FSV hedge an existing long FSV 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 FSV implied volatility affect this collar?
- FSV ATM IV is at 27.70% with IV rank near 3.58%, 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.