Options Program by Arborvitae Capital Managment
The options program uses a systematic approach to trading and relies heavily on a program of selling out of the money options on the S&P futures and other commodities, such as energies and metals. The implementation of the program each month depends on the risk associated with the strike price of the option positions. Option contracts are written at a sufficient distance out of the money, to allow in most cases, for the options to expire worthless. Options may be purchased before expiration.
Program Date: 05/01/07
CTA Management Fees: 0%
CTA Performance Account: 25%
Minimum Placement: $50,000
Return Since Inception (Net of Fees): 99%
Average Annual Return: 21.42%
Worst Drawdown: -18.32%
Annual Returns in the past 5 years The following performance for Arborvitae Capital Management Options Programs is proprietary. Reminder: Past performance is not necessarily indicative of future profits.
ACM uses a systematic approach to trading, in that it relies heavily on a program of selling or writing out-of-the-money options. ACM may also, from time to time; purchase options to reduce risk exposure. The implementation of the program each month depends on two proprietary formulas. They determine the strike prices and maturity periods of the initial option positions, which are written for each month’s expiration. Considerations are also given to technical and fundamental conditions in order to give the best risk/reward possible in ACM opinion. Option contracts are written at a sufficient distance out of the money to allow, in most cases, for the options to expire worthless. Returns are based on proforma adjustments to a proprietary account to reflect fees. Client accounts will be traded in like fashion.
ACM may use any or a combination of the following to manage risk: 1. Exit positions when a risk threshold is met 2. Purchase options in order to reduce risk exposure 3. Roll positions to a different strike and/or expiration
eManaged Futures confirms that this product fits within our mission to provide the best of the best in Managed Futures products. The following criteria below are met.* Positive Returns in every year of account life including the crash of 2008
* Inception Date of 2007 or earlier
* Average Return net of fees 14% or greater
* Industry’s Strongest Return to Drawdown RatioWe recommend this investment as a worthy placement within your portfolio to achieve returns consistency and risk worthy long term growth.