|White River Group - Dynamic S&P Options Strategy 4|
|Winning Months = 29
Losing Months = 1
|Worst Drawdown -10.81%
From July '15 to Aug '15
|S&P 500 Total Return Index|
|Winning Months = 20
Losing Months = 10
|Worst Drawdown -8.36%
From July '15 to Sept '15
THE RISK OF LOSS IN FUTURES AND OTPIONS TRADING IS SUBSTANTIAL NO MATTER WHO IS MANAGING YOUR MONEY. THERE IS AN UNLIMITED RISK OF LESS IN SELLING OPTIONS. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESTULS.
THE RISK OF LOSS IN FUTURES AND OTPIONS TRADING IS SUBSTANTIAL NO MATTER WHO IS MANAGING YOUR MONEY. THERE IS AN UNLIMITED RISK OF LESS IN SELLING OPTIONS. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
White River Group is a registered Commodity Trading Advisory Whose primary goal is to generate the highest quality of risk adjusted return for clients. White River Group's trading strategy is discretionary, although technical analysis goes into defining trading strategy. Fundamental factors, including inflation view and economic indicators, are also taken into account. White River Group's programs trade futures and options in a broad array of markets, including but not limited to, currencies, energies, equities, grains, interest rates, meats, metals and softs (e.g., sugar, cocoa and coffee), traded on U.S. and non-U.S. exchanges.
White River Group engages primarily in the "selling" or "writing" of options on futures contracts. The core premise based on the statistic that, historically, approximately 90% of option buyers incur losses on their purchased options, because most "purchasers" of options are seeking an insurance policy for their underlying investment. White River Group, acting as the seller of options to these buyers, is essentially acting as an insurer by selling options in return for premium. Once the options expire worthless, White River Group retains the premium as a profit.
The firm's Stock Index Option Writing strategy writes call and put options on index futures (primarily on the S&P index, but occasionally also on other indices). The strategy is designed to capture the decay of option premiums. The program sells deep out of the money options after unusual stock market movements. Option contracts are written at a sufficient distance to allow for the options to expire worthless. Primarily uncovered or naked options are sold (although spreads are utilized at times). White River Group may also take outright positions in the underlying future contract.
1. On August 24th the VIX spiked to a high of 53.29, which was 90.12% increase from its previous day’s close of 28.03.
2. The S&P performance is based on the S&P 500 Total Return Index.
3. The Dynamic S&P Program sells options with a shorter time period until expiration. Note that the rankings applyonly to those CTAs who submit their trading results. The rankings in no way purport to be representative of the entire universe of Commodity Trading Advisors.
4. Statistical Definitions - Annualized ("CROR") Compounded Rate of Return is the average return of an investment over a number of years. It smoothes out returns by assuming constant growth. Peak to Valley Drawdown ("Maximum Drawdown") is the worst drawdown % loss over the period of Nov '14 to Jan '17
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. TRADING FUTURES AND OPTIONS INVOLVES SUBSTANTIAL RISK OF LOSS AND IS NOT SUITABLE FOR ALL INVESTORS. THERE ARE NO GUARANTEES OF PROFIT NO MATTER WHO IS MANAGING YOUR MONEY. THERE IS AN UNLIMITED RISK OF LOSS IN SELLING OPTIONS. YOU SHOULD CAREFULLY CONSIDER WHETHER COMMODITY FUTURES AND OPTIONS IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION.