Domestic Payoff: Collar. Payoff looks very similar to that of the Capped Call with the difference that a "protection" has been put at a specific value below which the portfolio's value can not fall. Formula: Hd = max (Sd - Xd1, 0) – max (Sd - Xd2, 0) + 1 Xd1 = 0.7; Xd2 = 1.5

Foreign Payoff: Unidentified.

Comparing the original payoff shapes of the Collar and Capped Call, we notice clear similarity with the exception of the "protection" minimum value limit in the case of a Collar. However, comparing the payoffs of their foreign counterparts as identified by PAT, we must note that these alternative payoffs clearly look very different. Still, because of the symmetry principle built into PAT, we can be sure that the foreign payoffs are in both cases financially equivalent to their corresponding original domestic payoffs.