RAM Cash-Secured Put Strategy
RAM (Roundhill T-REX 2X Long DRAM Daily Target ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.
RAM seeking daily leveraged exposure is very different from most other exchange-traded funds. As a result, RAM may be riskier than alternatives that do not use leverage. The ETF's investment objective is to magnify (200%) the daily performance of the shares of the Issuers own Memory ETF, ticker: DRAM. The return for investors that invest for periods longer or shorter than a trading day should not be expected to be 200% of the performance of DRAM for the period. The return of the Fund for a period longer than a trading day will be the result of each trading day's compounded return over the period, which will very likely differ from 200% of the return of DRAM for that period. Longer holding periods, higher volatility of DRAM, and leverage increase the impact of compounding on an investor's returns.
RAM (Roundhill T-REX 2X Long DRAM Daily Target ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $457.5M, a beta of 0.00 versus the broader market, a 52-week range of 8.29-33.11, average daily share volume of 16.7M, a public-listing history dating back to 2026. These structural characteristics shape how RAM stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.00 indicates RAM 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 cash-secured put on RAM?
A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.
RAM snapshot
As of August 14, 2026, spot at $13.11, ATM IV 132.50%, IV rank 51.14%, expected move 37.99%. The cash-secured put on RAM below is built from the August 14, 2026 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 cash-secured put structure on RAM specifically: RAM IV at 132.50% is mid-range versus its 1-year history, so the credit collected on a RAM cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 37.99% (roughly $4.98 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 RAM expiries trade a higher absolute premium for lower per-day decay. Position sizing on RAM should anchor to the underlying notional of $13.11 per share and to the trader's directional view on RAM stock.
RAM cash-secured put setup
The RAM cash-secured put below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With RAM at $13.11 on that close, the first option leg uses a $12.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed RAM 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 RAM shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $12.00 | $1.53 |
RAM cash-secured put risk and reward
- Net Premium / Debit
- +$152.50
- Max Profit (per contract)
- $152.50
- Max Loss (per contract)
- -$1,046.50
- Breakeven(s)
- $10.48
- Risk / Reward Ratio
- 0.146
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
RAM cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on RAM. 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 | -99.9% | -$1,046.50 |
| $2.91 | -77.8% | -$756.74 |
| $5.81 | -55.7% | -$466.98 |
| $8.70 | -33.6% | -$177.22 |
| $11.60 | -11.5% | +$112.54 |
| $14.50 | +10.6% | +$152.50 |
| $17.40 | +32.7% | +$152.50 |
| $20.29 | +54.8% | +$152.50 |
| $23.19 | +76.9% | +$152.50 |
| $26.09 | +99.0% | +$152.50 |
When traders use cash-secured put on RAM
Cash-secured puts on RAM earn premium while a trader waits to acquire RAM stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning RAM.
RAM thesis for this cash-secured put
The market-implied 1-standard-deviation range for RAM extends from approximately $8.13 on the downside to $18.09 on the upside. A RAM cash-secured put lets a trader earn premium while waiting to acquire RAM at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current RAM IV rank near 51.14% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on RAM should anchor more to the directional view and the expected-move geometry. As a Financial Services name, RAM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to RAM-specific events.
RAM cash-secured put positions are structurally neutral to slightly bullish; 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. RAM positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move RAM alongside the broader basket even when RAM-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on RAM carry tail risk when realized volatility exceeds the implied move; review historical RAM earnings reactions and macro stress periods before sizing. Always rebuild the position from current RAM chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on RAM?
- A cash-secured put on RAM is the cash-secured put strategy applied to RAM (stock). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With RAM stock at $13.11 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed RAM chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are RAM cash-secured put max profit and max loss calculated?
- Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the RAM cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 132.50%), the computed maximum profit is $152.50 per contract and the computed maximum loss is -$1,046.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a RAM cash-secured put?
- The breakeven for the RAM cash-secured put priced on this page is roughly $10.48 at expiration, derived from the August 14, 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 RAM market-implied 1-standard-deviation expected move in the same options snapshot is approximately 37.99%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a cash-secured put on RAM?
- Cash-secured puts on RAM earn premium while a trader waits to acquire RAM stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning RAM.
- How does current RAM implied volatility affect this cash-secured put?
- RAM ATM IV is at 132.50% with IV rank near 51.14%, 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.