OPY Collar Strategy
OPY (Oppenheimer Holdings Inc.), in the Financial Services sector, (Financial - Capital Markets industry), listed on NYSE.
Headquartered in New York since its founding in 1881, Oppenheimer Holdings Inc. serves as a prominent middle-market investment bank and full-service broker-dealer, extending its operations across the Americas, Europe, the Middle East, and Asia. The company provides a comprehensive suite of financial services to a diverse clientele, including affluent individuals, corporate executives, public and private enterprises, institutions, governmental bodies, financial sponsors, and investors globally. Its extensive brokerage offerings cover a wide range of assets, from exchange-traded and over-the-counter corporate equities and debt to money market instruments, options, futures, municipal bonds, mutual funds, exchange-traded funds, and unit investment trusts, complemented by financial planning and wealth management advice, as well as margin lending. Oppenheimer's asset management division delivers tailored investment solutions, encompassing separately managed accounts, discretionary portfolio programs, advisory and consultation services, alternative investments, and specialized fixed income strategies. For businesses and institutions, the firm provides robust investment banking services, including strategic guidance, capital market products, merger and acquisition facilitation, and equity and debt capital market offerings. Additionally, it offers institutional equity services such as sales, trading, research, derivatives, and convertible bond expertise, alongside institutional fixed income sales, trading, research, public finance, and municipal trading.
OPY (Oppenheimer Holdings Inc.) trades in the Financial Services sector, specifically Financial - Capital Markets, with a market capitalization of approximately $1.12B, a trailing P/E of 11.51, a beta of 1.09 versus the broader market, a 52-week range of 63.81-118.77, average daily share volume of 90K, a public-listing history dating back to 1982, approximately 3K full-time employees. These structural characteristics shape how OPY stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.09 places OPY roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 11.51 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. OPY pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on OPY?
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 OPY snapshot
As of June 30, 2026, spot at $105.56, ATM IV 40.80%, IV rank 4.22%, expected move 11.70%. The collar on OPY 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 52-day expiry.
Why this collar structure on OPY specifically: IV regime affects collar pricing on both sides; compressed OPY IV at 40.80% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 11.70% (roughly $12.35 on the underlying). The 52-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated OPY expiries trade a higher absolute premium for lower per-day decay. Position sizing on OPY should anchor to the underlying notional of $105.56 per share and to the trader's directional view on OPY stock.
OPY collar setup
The OPY 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 OPY near $105.56, the first option leg uses a $110.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed OPY chain at a 52-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 OPY shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $105.56 | long |
| Sell 1 | Call | $110.00 | $4.70 |
| Buy 1 | Put | $100.00 | $4.03 |
OPY collar risk and reward
- Net Premium / Debit
- -$10,488.50
- Max Profit (per contract)
- $511.50
- Max Loss (per contract)
- -$488.50
- Breakeven(s)
- $104.89
- Risk / Reward Ratio
- 1.047
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.
OPY collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on OPY. 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% | -$488.50 |
| $23.35 | -77.9% | -$488.50 |
| $46.69 | -55.8% | -$488.50 |
| $70.03 | -33.7% | -$488.50 |
| $93.37 | -11.6% | -$488.50 |
| $116.70 | +10.6% | +$511.50 |
| $140.04 | +32.7% | +$511.50 |
| $163.38 | +54.8% | +$511.50 |
| $186.72 | +76.9% | +$511.50 |
| $210.06 | +99.0% | +$511.50 |
When traders use collar on OPY
Collars on OPY hedge an existing long OPY 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.
OPY thesis for this collar
The market-implied 1-standard-deviation range for OPY extends from approximately $93.21 on the downside to $117.91 on the upside. A OPY collar hedges an existing long OPY 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 OPY IV rank near 4.22% 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 OPY at 40.80%. As a Financial Services name, OPY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to OPY-specific events.
OPY 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. OPY positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move OPY alongside the broader basket even when OPY-specific fundamentals are unchanged. Always rebuild the position from current OPY chain quotes before placing a trade.
Frequently asked questions
- What is a collar on OPY?
- A collar on OPY is the collar strategy applied to OPY (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 OPY stock trading near $105.56, the strikes shown on this page are snapped to the nearest listed OPY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are OPY 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 OPY collar priced from the end-of-day chain at a 30-day expiry (ATM IV 40.80%), the computed maximum profit is $511.50 per contract and the computed maximum loss is -$488.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a OPY collar?
- The breakeven for the OPY collar priced on this page is roughly $104.89 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 OPY market-implied 1-standard-deviation expected move is approximately 11.70%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on OPY?
- Collars on OPY hedge an existing long OPY 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 OPY implied volatility affect this collar?
- OPY ATM IV is at 40.80% with IV rank near 4.22%, 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.