The covered call strategy has been available in separately managed account (SMA) format for over 17 years and has outperformed both the S&P 500 and the covered call index (symbol BXM) since inception, at considerably lower risk. It is also offered in an open-end mutual fund format. Please see Rational Iron Horse Fund for more information on the fund.
Past performance is not a guarantee of future results. The results achieved by individual clients will vary and will depend on a number of factors including the particular underlying stock and its dividend yield, option market liquidity, interest rate levels, implied volatilities, and the client’s expressed return and risk parameters at the time the service is initiated and during the term. Investing in options involves risk that must be considered and reviewed with a professional prior to investing. This presentation is not intended for the giving of investment advice to any single investor or group of investors and no investor should rely upon or make any investment decisions based solely upon its contents. The CBOE S&P 500 BuyWrite Index (BXM) is a benchmark index designed to track the performance of a hypothetical buy-write strategy on the S&P 500 Index. All returns are shown gross and net of fees.