Broker Check

Double Band Option Fund™

This is a new product we developed in 2021 and the name of this fund sounds like there is a lot of music involved.  There is no music but a lot of action in that there are options (Puts and Calls) being traded on both sides of the market.  It probably sounds complicated because it is. But our results have been very promising during its first year.  In 2021 this fund grew by  32%. 

Risks in this product abound and there is a very good chance this fund could lose value during the year.  But there is a decent chance of much above average returns.  In other words, this investment is not for the faint of heart and is designed for a client that wants to assume more risk.

We have a target return of 15% with this fund.  Our base management fee is 2% of the market value of the fund.   If the returns are less than 15%, we charge no fees.  If the returns are over 15% after our base fee, we charge 25% of the return over 15%.  The base fee and incentive fee are charged and collected at the end of the calendar year.  Here is an example:   Assume the fund gains 27%.  We would collect a 2% base fee which brings the gains down to 25%.  Our incentive fee would be 25% of 10% (25%-15%) which is 2.5%.  That means the net return to the investor would be 22.5% (25%-2.5%).  And our total fee would be 4.5% (2% base fee plus 2.5% incentive fee). 

This is a long range strategy and funds can only be drawn out once a year, after year’s end when the yearly results and account balances are calculated.  The minimum investment is $500,000.   

Note: This product is in the testing stage and not yet available to the public.

For more information about our firm and the services we offer, send us a quick email or call the office. We would welcome the opportunity to speak with you.   |  941-232-7735