Fortress Trading has a history of innovation. Whether it's our founders being some of the very first traders to deploy hand hold computers in the Chicago Board of Trade's Treasury option pits or being among the first to deploy hand held computers in the Chicago Mercantile Exchange's S&P 500 option pit and the Chicago Board Option Exchange's SPX pit, we've always innovated.
Open-Ended Structured Products
We also look at strategies differently. By combining option strategies with their underlying vehicle or index we've developed several unique open-ended investment methodologies. These products are protected by pending patent applications.
Our goal is to create second generation products that are superior to the underlying index as well as the existing option enhanced benchmark.
Our Enhanced Covered Call Indexes improve on the traditional index covered call strategy. Existing covered call products reinvest option premium received in the index. The Nations Enhanced Covered Call Indexes use this option premium differently. Our methodology generallly results in greater returns with less risk than the underlying index.
The Nations Enhanced Collar Indexes improve on the tradition index collar strategies. In standard collar products, the protective put option is more expensive than the covered call. This is a major drawback for standard strategies since the potential upside appreciation surrendered is greater than the downside protection received. Nations Enhanced Collar Indexes take advantage of this skew and the terms structure of options to generate risk-adjusted returns superior to the underlying index and the vanilla collar.
Chicago has more movable bridges than any city in the world. A few of those bridges are pictured at left.