Trading a SPLV straddle lets you take a pure volatility position on Invesco S&P 500 Low Volatility ETF without committing to a direction. Invesco S&P 500 Low Volatility 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 SPLV straddle pricing in real time and find the moments when expected moves are mispriced.
A long straddle on SPLV 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 S&P 500 Low Volatility 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 SPLV straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.
The Invesco S&P 500 Low Volatility ETF (Fund) is based on the S&P 500 Low Volatility Index (Index). The Fund will invest at least 90% of its total assets in the securities that comprise the Index. The Index is compiled, maintained and calculated by Standard & Poor's and consists of the 100 securities from the S&P 500 Index with the lowest realized volatility over the past 12 months. Volatility is a statistical measurement of the magnitude of up and down asset price fluctuations over time. The Fund and the Index are rebalanced and reconstituted quarterly in February, May, August and November.
Earnings, product cycles, macro prints — any time volatility itself is the trade, the SPLV straddle is the cleanest expression of that view. Our scanner prices every SPLV 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 SPLV straddle into a catalyst or short a SPLV straddle to harvest decay, the options straddle setups that matter are all in one place.
