What are performance expectations and what has performance been?
Since its reincarnation in 2005, Theta Growth has generated competitive results relative to what we believe to be the most appropriate barometer for the strategy so far. While there isnt a perfect proxy for our strategy, we would be happy to discuss with you our thoughts regarding this topic, and our early results. The benchmark that we fi nd to be the most meaningful one the BXM, and the S&P 500. How is option income taxed? Option Income is taxed at the individual short-term capital gains rate. We believe the more sensitive issue is short term capital gains on the stocks themselves. We endeavor to produce a low amount of turnover in the underlying portfolio, and therefore minimize capital gains tax on the underlying equities. Because we like the underlying securities, we will tend to roll-up the options at expiration instead of letting the stock get called away. This is especially true in the first year the account is open. We do everything sensible to push any capital gain into year
