Invesco National AMT-Free Municipal Bond ETF (PZA) Straddle

Trading a PZA straddle lets you take a pure volatility position on Invesco National AMT-Free Municipal Bond ETF without committing to a direction. Invesco National AMT-Free Municipal 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 PZA straddle pricing in real time and find the moments when expected moves are mispriced.

A long straddle on PZA 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 Invesco National AMT-Free Municipal 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 PZA straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.

The Invesco National AMT-Free Municipal Bond ETF (Fund) is based on The ICE BofAML National Long-Term Core Plus Municipal Securities Index (Index). The Fund generally will invest at least 80% of its total assets in municipal securities that comprise the Index and that also are exempt from the federal alternative minimum tax. The Index is composed of US dollar-denominated, investment grade, tax-exempt debt publicly issued by US. states and territories, or their political subdivisions, in the US domestic market with a term of at least 15 years remaining to final maturity. The Index is adjusted monthly and its constituents are capitalization-weighted based on their current amount outstanding.

The Fund does not purchase all of the securities in the Index; instead, the Fund utilizes a "sampling" methodology to seek to achieve its investment objective. The Fund and the Index are rebalanced and reconstituted monthly.

Earnings, product cycles, macro prints — any time volatility itself is the trade, the PZA straddle is the cleanest expression of that view. Our scanner prices every PZA 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 PZA straddle into a catalyst or short a PZA straddle to harvest decay, the options straddle setups that matter are all in one place.