Strategies 
Ratio Put Spread 
Component 
Buy 1 put with higher strike price/level and sell 2 put with lower strike price/level
1. Result in net premium received
2. Result in net premium paid 
When there is net premium received: 
Potential Profit 
 When the stock price/index level is above the breakeven point
 Limited to strike price/level difference plus the net premium received

Maximum Loss 
 When the stock price/index level is below the breakeven point
 Substantial, equals to breakeven point minus stock price/level

Time Value Impact 
Positive 
Breakeven 
 Only one breakeven point exists
 Equals to lower strike price/level minus the strike price/level difference minus the net premium received

Remarks 
Compared with a Short Straddle, a Ratio Put Spread (with net premium received) has substantial loss on the downside but limited profit on the upside. 