spreadsLow RiskBearish
Bear Put Spread
Buy a put, sell a lower-strike put. Cheaper downside play with capped profit.
What is a Bear Put Spread?
You buy a higher-strike put and sell a lower-strike put at the same expiration. The sold put reduces your cost but caps maximum profit at the lower strike. Defined-risk bearish strategy.
When to use it
Use when you're moderately bearish and want to reduce the cost of a long put. Best when you have a specific downside target in mind.
Structure
Buy 1 higher-strike put + sell 1 lower-strike put, same expiration.
Key Metrics
Max Profit
Difference between strikes − net premium paid × 100.
Max Loss
Net premium paid.
Breakeven
Higher strike − net premium paid.
Greeks Profile
Net delta: negative. Theta: slightly negative. Vega: small positive.
Tips & Best Practices
- 1Set the short put at your price target — where you expect the stock to land.
- 2Better risk-adjusted than a naked long put for directional plays.
- 3Close at 50–75% of max profit.
- 4Use on ETFs or liquid large-caps for easy fills.
See it in action
Model a Bear Put Spread with a real ticker. See the P&L chart, heatmap, and exact breakevens.
Open Bear Put Spread Calculator →