Professionally Managed Option Spread Portfolios
Learn and Invest with Commodity Option Specialists

Professionally managed commodity option accounts  ·  Starting at $100,000

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Alpine lake and mountains at sunset
HIGH NET WORTH INVESTORS

Welcome to A Different Class of Investing

Most investors, even very successful ones, have been taught essentially one way to invest: buy an asset, wait for it to appreciate, and eventually sell it for more than they paid.

OptionSpreaders specializes in professionally managed commodity option selling portfolios for qualified investors.

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The 5 Keys to Selling Leveraged Options

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The 5 Keys to Selling Leveraged Options by Justin Cardwell
AS FEATURED IN
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Al Jazeera

Tampa, Florida · CFTC-registered CTA · NFA Member

ARE TRADITIONAL INVESTMENTS

NOT SATISFYING YOU?

If you are a high-net-worth investor, preserving and growing your wealth is likely a high priority. You worked hard for your money and now want it to work hard for you.

And yet, building a portfolio that meets your goals isn’t always simple. A traditional portfolio of stocks and bonds can perform well, but both are exposed to market direction and timing. When things trend smoothly, it feels easy. During stretches of drawdowns and increased volatility, emotional decision-making often shows up at the worst time.

Options can be a powerful tool, but many investors treat them like lottery tickets, buying them and hoping for a big move.

Stock option sellers may think they’ve found an answer. After all, you can identify options with a high probability of expiring worthless. 

But in stocks, premiums can be relatively small while margin requirements can be significant. And while many options do expire worthless, selling stock options still leaves you in the same asset class, highly influenced by the same headlines that move equities.

For investors who seek a true complement to a traditional portfolio, the question you should ask becomes:

IS THIS STRATEGY PROVIDING REAL DIVERSIFICATION,

OR JUST A DIFFERENT WAY TO TAKE THE SAME RIDE?

Many investors simply settle for what they get. The market will decide their fate: if it goes up, they will feel good. If it goes down, they will feel bad.

However, if you’re seeking diversification beyond stock and bond exposure, this may be worth exploring further.

WELCOME TO OPTION SELLING:

A Real Alternative

There is a solution.

It’s called selling options. Not in stocks, but in a completely separate asset class – commodities. In our opinion, this investment strategy can provide you with some flat out advantages as an investor. You won’t hear about it from your broker or financial advisor. But it exists and it’s real. it remains a specialized corner of the investment world, and finding experienced managers who focus exclusively on commodity option selling are relatively uncommon. 

Having found this website, you’ve already done that. Whether you are seeking diversification from equities, the potential for an attractive rate of return, or are simply tired of trying to pick market direction, here you will discover an approach that can potentially deliver all three. 

Yet here you can not only gain a wealth of option selling insights from real portfolio managers, as a qualified investor you have the ability to work directly with commodity option selling experts in managing your portfolio.

Option selling, of course, involves substantial risk of loss and is not suitable for every investor. Only risk capital should be used. Our managed accounts and strategies are designed for sophisticated accredited and high net worth investors. 

AS AN INVESTOR, YOU DON’T WANT TO BE PLAYING THE WHEEL. YOU WANT TO BE THE ONE SPINNING IT.

The person spinning the wheel does not make money on every spin. He does not have to. He understands that the percentages favor him over time. That is the basic idea behind option selling.

Trading, investing, speculating, call it what you want. No matter how you are doing it, most of the time you are trying to predict the price direction of an asset, and then “betting,” for lack of a better word, that your prediction will come to pass. You’re betting that one outcome will occur, and if any other outcome occurs, you lose. You are betting the wheel.

There will be losing trades, and a single loss can outweigh the profits from several winning trades. That is why managing risk is essential. We carefully structure and size our spreads, then actively manage positions in an effort to limit losses.

But you do not have to correctly predict the next big market move every time to have an opportunity to make money.

You want to be the one spinning the wheel.

Option selling wheel illustration
The 5 Keys to Selling Leveraged Options by Justin Cardwell
FOR HIGH NET WORTH INVESTORS

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IT’S NOT JUST THE STRATEGY. IT’S ALSO THE ASSETS.

Selling options changes how you approach a market. But selling stock options still keeps you within the equity markets. At OptionSpreaders, we apply the option selling approach to commodities.

Wheat, crude oil and coffee have their own supply and demand with little to no correlation to your traditional assets. A crop’s condition, the amount of oil in storage or a change in consumption matter to these markets. 

We exclusively research the most liquid commodity markets, evaluating option premiums, selecting strikes, structuring positions and managing qualified investor’s portfolios. We study the things that can determine whether an opportunity is attractive in the first place based on fundamentals, seasonality, historical price behavior, volatility, premium and risk.

We believe the choice of market deserves as much attention as the choice of strategy. That is why we specialize in commodity option selling. Commodities carry their own risks, including increased leverage which magnify gains and losses, and adding them does not guarantee diversification or protection from losses. For that reason, only risk capital should be used.

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The 5 Keys to Selling Leveraged Options by Justin Cardwell

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Risk Disclosure: Trading futures and options on futures involves substantial risk of loss and is not suitable for all investors. Certain option-writing strategies, particularly uncovered positions, may involve substantial or potentially unlimited losses. Adverse market movements may also result in increased margin requirements and the need to deposit additional funds. OptionSpreaders.com utilizes spread-based strategies intended to offset or limit certain risks, but spreads do not eliminate the possibility of substantial loss. Investors should carefully consider whether these strategies are appropriate in light of their financial condition, investment objectives and ability to bear risk. Past performance is not necessarily indicative of future results.

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The 5 Keys to Selling Leveraged Options

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