Managed Accounts - Information and Procedure

Professionally Managed Accounts

   

Option Elements offers professional investment account management for sophisticated investors who are seeking to earn income and equity growth in their accounts. 


We use Equity Index Options as a strategic vehicle. 


Option Elements uses proprietary trading tactics developed over many years of trading options in the U.S. major markets. These tactics consist of complex spread strategies designed to earn income from the value of options sold in conjunction with price appreciation of options purchased. 


Most of the strategies used are short term in nature using Options that have expiries of 5-70 Days. The main markets traded are the S&P 500 Index and the Russell 2000 Index. 


The management's performance goal is 3%-4% yield per month on the client’s capital balance. 


For performance history, please contact us.  While past results are not indicative of future results, our strategies and tactics continually adapt to changing market conditions to produce the best results possible.  As we know, all speculative trading involves the possibility of loss.   



PROCEDURE 


The client establishes an account with our Broker.    Your account is then linked to the  master account, where trades are made for you.


No one, other than yourself, has access to the funds in your account. No one can neither add funds to the account nor remove funds from the account,other than the account holder.  The only permission we have is to open and close trades in the Client account. 


We charge a performance fee of 22% of the net profits generated in your account, after any standard transaction costs charged by the Brokerage firm.  If there are no profits, then there is no performance fee owed. We charge no other fees associated with the managed accounts. 


The "high water mark" for your managed account will be the account value, after the performance fee is deducted. As an example, if the account grows from $125,000 to $135,000 in one fiscal period (month), the performance fee of $2,200 is deducted leaving the account at $132,800. That amount becomes the new "high water mark". This is fair and standard. 


Using the aforementioned example, there would be no subsequent performance fee due until the account accumulates a value greater than $132,800 because the performance fee associated with that gain has already been paid.


There is no contract period at all and if a Client wishes to cancel our agreement you can do so at any time. 


The  goal for returns is 3-4 percent per month (on the total capital in the account) or roughly 36% - 48% per annum.  Performance fee disbursements are made on a monthly and sometimes bimonthly basis.


Customer Accounts are always segregated and the account holder has total transparency.

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Contact Me

Please call me and I will be pleased to talk with you.


Tony Sizemore - Principal Wealth Manager

Option Elements

404-271-9777

Tony @OptionElements.com