For this reason, investors are advised to reinvest accumulated profits in the strategy immediately following such periods. The Investa Overwriting Strategy has made a profit in approximately three out of every four months since inception in April 1984. Where the loss results from the market rising too rapidly, the loss is offset by the corresponding increase in the value of any stocks in the underlying portfolio. Because no securities are borrowed, no margin interest is payable on the options you write. Investa makes all decisions under the Strategy, places all trades, and monitors all positions for you.
All fees are payable quarterly in advance.
A contract may be terminated by either Investa or the client upon 30 days' written notice. On such termination, quarterly fees are refundable on a pro-rata basis. Investa's authority is strictly limited to making trades and deducting Strategy fees only. Investa does not have, nor requests, the authority to remove or transfer funds or securities from your brokerage account. Of course, you must maintain adequate margin to support any open option positions, as you would with any other open positions in your account.