Construction: 2 ATM puts + 1 ATM call. Use case: expecting a big move with bearish lean. Common deployment is pre-earnings on a stock with potential for a sharp downside reaction (high short interest, weak guidance, sector under pressure). The double weight on the put side pays off bigger if the stock collapses.
Cost is similar to a strap — 1.5–2× a standard straddle. Theta drag is real; the structure should be entered with a thesis about both timing and magnitude. Without a clear binary catalyst, the daily decay erodes the position before any move materializes.