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.
- 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:
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.
Hedged Option Premium Strategy (HOPS)
HOPS runs the same underlying short volatility strategy as OPS but employs more stringent hedging techniques including tighter delta management by use of a 'futures overlay' strategy 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.
Oxeye Hedged Income option Fund (OHIO)
The VT Oxeye Fund (OHIO) runs a hybrid of the OPS and HOPS 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.
Oxeye Growth Fund (OGF) Dollar Class
The Oxeye Growth Fund is a multi-class open-ended exempt company incorporated in the Cayman Islands. Its investment objective is to achieve dollar based capital appreciation and absolute returns in all market environments, whilst adhering to robust risk management techniques.
OGF runs HOPS as its underlying strategy. It also has downside protection to create limited liability, and employs a futures and long option overlay to hedge range breaks. Leverage up to a maximum 7.5x.