Overlay Shares Short Term Bond ETF (OVT) Straddle

Trading a OVT straddle lets you take a pure volatility position on Overlay Shares Short Term Bond ETF without committing to a direction. Overlay Shares Short Term Bond ETF's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate OVT straddle pricing in real time and find the moments when expected moves are mispriced.

A long straddle on OVT profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when Overlay Shares Short Term Bond ETF stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the OVT straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.

The fund is an actively-managed ETF that seeks to achieve its objective by (i) investing in one or more other ETFs that seek to obtain exposure to the performance of short-term, investment grade, U.S. dollar-denominated, fixed-rate taxable bonds with a dollar-weighted average maturity of no more than three years with a maximum maturity of five years or directly in the securities held by such ETFs and (ii) selling and purchasing listed short-term put options to generate income to the fund.

Earnings, product cycles, macro prints — any time volatility itself is the trade, the OVT straddle is the cleanest expression of that view. Our scanner prices every OVT straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a OVT straddle into a catalyst or short a OVT straddle to harvest decay, the options straddle setups that matter are all in one place.