Oxeye Products and Performance 

Oxeye offer both Managed Accounts and Funds to its clients. To find more information about a strategy including its performance data, please select a link below.

 

OUR APPROACH:

  • To sell wasting assets to create a constant source of income

  • To exercise discipline and a consistent methodology

  • Use of dynamic hedging and varying leverage to control risk

  • No view of market direction, allowing largely uncorrelated returns

 

To see Oxeye's performance, please click here:

A password is required to access performance data, which can be requested here

 

Our Strategies

MANAGED ACCOUNTS:

Buyback Option Premium Strategy (BOPS)   

The Oxeye Buyback Option Premium Strategy (BOPS) is an option writing / short volatility strategy similar to insurance underwriting. The strategy sells out-of-the-money put and call on the UK Leading Equities Index, an operation known as “selling strangles” or “short volatility”. At inception, strangles do not take a view on market direction only that the market usually stays within a definable range during the lifetime of an option. The options are sold at strike prices above the market for calls and below the market for puts with a maximum duration of 3 months.

BOPS employs stringent risk management techniques including the use of systematic stop losses to lessen drawdowns during periods of market stress. Gross exposure will be reduced if premiums levels drop below a predetermined target. Leverage can be customised to suit clients' needs up to a maximum of 7.5x.                                         

Option Premium Strategy (OPS)

OPS is Oxeye's longest running strategy, having been traded for over twenty years. The strategy sells out-of-the-money put and call on the UK Leading Equities Index, an operation known as “selling strangles” or “short volatility”. The strategy does not take a view on market direction only that the market usually stays within a definable range during the lifetime of an option. The options are sold at strike prices above the market for calls and below the market for puts with a maximum duration of 3 months.

Gross exposure will be reduced if premiums levels drop below a predetermined target and net exposure will be delta managed. Leverage can be customised to suit clients' needs up to a maximum of 5x. OPS is Oxeye’s least risk managed offering.                                                                             

 

OXEYE FUNDS:

Oxeye Hedged Income option Fund (OHIO)

The VT Oxeye Fund (OHIO) runs a hybrid of the OPS and BOPS strategies. It aims to maximise returns by increasing leverage at a pre-determined high level of income potential (Implied Volatility).

OHIO is a Qualified Investor Scheme and pays out 100% of profits per annum. The strategy employs several risk control strategies including holding a 50% cash margin at all times, downside protection to create limited liability, employs a futures and long option overlay to hedge range breaks, and gradual increases in gearing. Leverage up to a maximum of 7.5x.