SSNC Butterfly Strategy
SSNC (SS&C Technologies Holdings, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
SS&C Technologies Holdings, Inc. offers a diverse portfolio of software solutions and related services, catering primarily to the financial services and healthcare industries. The company's sophisticated technology infrastructure spans various critical functions within finance, including securities accounting; front-office capabilities such as trading and financial modeling; middle-office tasks like portfolio oversight and reporting; and comprehensive back-office operations encompassing general accounting, performance measurement, data reconciliation, processing, clearing, regulatory compliance, and tax reporting. In the healthcare sector, SS&C provides specialized solutions for claims adjudication, benefits administration, care management, and business intelligence. These offerings are instrumental in helping professionals in both domains automate intricate business processes and efficiently handle their extensive information processing demands. SS&C's wide array of software-enabled services includes prominent platforms like SS&C GlobeOp, Global Investor and Distribution Solutions, SS&C Retirement Solutions, Black Diamond Wealth Platform, Bluedoor, Advent Outsourcing Services, Advent Data Solutions, ALPS Advisors, and Virtual Data Rooms, alongside specific services for pharmacy, healthcare administration, and health outcomes optimization. Its core software products feature tools for portfolio and investment accounting and analytics, holistic portfolio management, trading, digital process automation, and banking and lending, complemented by research, risk analysis, and training applications.
SSNC (SS&C Technologies Holdings, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $18.81B, a trailing P/E of 22.24, a beta of 1.09 versus the broader market, a 52-week range of 61.4-91.07, average daily share volume of 2.3M, a public-listing history dating back to 2010, approximately 29K full-time employees. These structural characteristics shape how SSNC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.09 places SSNC roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. SSNC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a butterfly on SSNC?
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.
SSNC snapshot
As of August 14, 2026, spot at $81.46, ATM IV 26.90%, IV rank 5.23%, expected move 7.71%. The butterfly on SSNC 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 126-day expiry.
Why this butterfly structure on SSNC specifically: SSNC IV at 26.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a SSNC butterfly, with a market-implied 1-standard-deviation move of approximately 7.71% (roughly $6.28 on the underlying). The 126-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated SSNC expiries trade a higher absolute premium for lower per-day decay. Position sizing on SSNC should anchor to the underlying notional of $81.46 per share and to the trader's directional view on SSNC stock.
SSNC butterfly setup
The SSNC butterfly 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 SSNC at $81.46 on that close, the first option leg uses a $75.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SSNC chain at a 126-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 SSNC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $75.00 | $9.65 |
| Sell 2 | Call | $80.00 | $6.05 |
| Buy 1 | Call | $85.00 | $3.95 |
SSNC butterfly risk and reward
- Net Premium / Debit
- -$150.00
- Max Profit (per contract)
- $326.30
- Max Loss (per contract)
- -$150.00
- Breakeven(s)
- $76.50, $83.50
- Risk / Reward Ratio
- 2.175
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.
SSNC butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on SSNC. 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% | -$150.00 |
| $18.02 | -77.9% | -$150.00 |
| $36.03 | -55.8% | -$150.00 |
| $54.04 | -33.7% | -$150.00 |
| $72.05 | -11.6% | -$150.00 |
| $90.06 | +10.6% | -$150.00 |
| $108.07 | +32.7% | -$150.00 |
| $126.08 | +54.8% | -$150.00 |
| $144.09 | +76.9% | -$150.00 |
| $162.10 | +99.0% | -$150.00 |
When traders use butterfly on SSNC
Butterflies on SSNC are pinning bets - traders use them when they expect SSNC 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.
SSNC thesis for this butterfly
The market-implied 1-standard-deviation range for SSNC extends from approximately $75.18 on the downside to $87.74 on the upside. A SSNC long call butterfly is a pinning play: it pays maximum at the middle strike if SSNC settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current SSNC IV rank near 5.23% 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 SSNC at 26.90%. As a Technology name, SSNC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SSNC-specific events.
SSNC 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. SSNC positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SSNC alongside the broader basket even when SSNC-specific fundamentals are unchanged. Always rebuild the position from current SSNC chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on SSNC?
- A butterfly on SSNC is the butterfly strategy applied to SSNC (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 SSNC stock at $81.46 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed SSNC chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are SSNC 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 SSNC butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 26.90%), the computed maximum profit is $326.30 per contract and the computed maximum loss is -$150.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SSNC butterfly?
- The breakeven for the SSNC butterfly priced on this page is roughly $76.50 and $83.50 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 SSNC market-implied 1-standard-deviation expected move in the same options snapshot is approximately 7.71%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on SSNC?
- Butterflies on SSNC are pinning bets - traders use them when they expect SSNC 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 SSNC implied volatility affect this butterfly?
- SSNC ATM IV is at 26.90% with IV rank near 5.23%, 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.