Long Put Condor
Description
The put-only equivalent of the long call condor: buying a lower put, selling two puts at the next two strikes up, and buying a higher put.
Setup
- Buy one put at the lowest strike.
- Sell one put at each of the next two strikes up.
- Buy one put at the highest strike.
Context
Used when the underlying is expected to settle within a range; economically equivalent to the call version, built with puts instead.
Risk Profile
Maximum loss is the small net debit paid, at either extreme. Maximum gain is the width between adjacent strikes minus that debit, anywhere between the two middle strikes.
Pros
- Wider profit zone than a butterfly.
- Small, defined maximum loss.
- Does not require pinpointing an exact settlement level.
Cons
- Maximum gain is smaller than a comparable butterfly.
- Still loses the full debit if the underlying finishes outside the outer strikes.
Effect of Time
Time decay generally helps as expiry nears, so long as the underlying stays within the middle range.
Effect of Volatility
A rise in implied volatility tends to hurt the position, since it makes a move outside the range more likely.
Look-Alike Strategies
Live Structure
| Position | Right | Ratio | Strike | Expiry | Premium | Fill Price | Est. Fee |
|---|---|---|---|---|---|---|---|
| Long | Put | 1 | $83500.0000 | 24 Sep 2026 | $50.6308 | $59.0692 | $6.3288 |
| Short | Put | 1 | $84000.0000 | 24 Sep 2026 | $109.7000 | $92.8231 | $13.7125 |
| Short | Put | 1 | $85000.0000 | 24 Sep 2026 | $696.1733 | $548.5002 | $25.3154 |
| Long | Put | 1 | $85500.0000 | 24 Sep 2026 | $1139.1926 | $1265.7696 | $25.3154 |
Estimated Cost to Assemble
An estimate of what entering this structure right now would really cost: filling every leg by crossing the spread (the ask when buying, the bid when selling) instead of at the mid-price, plus an estimated exchange fee. Real fees and fills can differ from this estimate.
Payoff & Greeks vs. Underlying Price
The Greeks curves are a Black-Scholes model using each leg's current implied volatility, holding time to expiry fixed -- not live exchange data at every price, which only exists at the current price (dashed line).
Payoff at Expiration
This structure's value and profit/loss at expiration, at a handful of specific prices: every leg's strike, every breakeven, the current spot, and the chart's own range.
| Underlying Price | Value at Expiration | Profit / Loss | Return on Cost |
|---|---|---|---|
| $81500.0000 | $0.0000 | -$383.9501 | -100.0% |
| $83500.0000 | $0.0000 | -$383.9501 | -100.0% |
| $83883.9501 breakeven | $383.9501 | $0.0000 | +0.0% |
| $84000.0000 | $500.0000 | $116.0499 | +30.2% |
| $84384.6000 current | $500.0000 | $116.0499 | +30.2% |
| $85000.0000 | $500.0000 | $116.0499 | +30.2% |
| $85116.0499 breakeven | $383.9501 | $0.0000 | +0.0% |
| $85500.0000 | $0.0000 | -$383.9501 | -100.0% |
| $87500.0000 | $0.0000 | -$383.9501 | -100.0% |