Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bear Put Spread trade opportunity for REINSURANCE GROUP (RGA) for the 15-Jan-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. RGA was recently trading at $116.92 and has an implied volatility of 46.44% for this period. Based on an analysis of the options available for RGA expiring on 15-Jan-2021, there is a 34.13% likelihood that the underlying will close within the analyzed range of $95.38-$116.25 at expiration. In this scenario, the average linear return for the trade would be 51.02%. Big -7.78% Change: After closing the last trading session at $126.79, REINSURANCE GROUP opened today at $126.81 and has reached a low of $116.74. Trade approach: A movement as big as -7.78% is a significantly bearish indicator, so this trade is designed to be profitable if RGA maintains its current direction and does not revert back to pricing on the bullish side of $116.92 on 15-Jan-2021. If possible, the trade has been padded such that slight movement against the trade would still return a profit. Upside potential: Using this bearish strategy, the trade would be profitable if REINSURANCE GROUP closes at or below $117.40 on 15-Jan-2021. Based on our risk-neutral analysis, there is a 51.99% likelihood of this return. Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment. To analyze this trade in depth, please visit the Quantcha Options Search Engine.