Collar strategies involve combining long calls with short puts and short calls to manage risk and potential returns. A collar strategy is a options trading strategy that involves:

1. Buying a call option (long call)

2. Selling a put option (short put)

3. Selling a call option (short call)

The long call and short put have the same strike price, while the short call has a higher strike price. This strategy is used to limit potential losses (by selling the put) while also capping potential gains (by selling the call).

Here are some key points about collar strategies:

1. _Risk management_: Collar strategies help manage risk by limiting potential losses.

2. _Return management_: Collar strategies also manage potential returns, capping gains at the short call strike price.

3. _Volatility reduction_: Collar strategies can reduce the impact of volatility on the underlying asset.

4. _Flexible strike prices_: The strike prices of the options can be adjusted to suit market conditions and trading goals.

5. _Combination of options_: Collar strategies involve a combination of options, allowing for a more nuanced approach to risk and return management.

6. _Hedging_: Collar strategies can be used to hedge against potential losses in a physical position or to lock in profits.

7. _Adjustable_: Collar strategies can be adjusted as market conditions change, allowing for flexibility in trading and investment decisions.

By combining long calls with short puts and short calls, collar strategies offer a flexible and nuanced approach to managing risk and potential returns in options trading.