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Weekly Income Strategy

Grow your wealth fast in a slow market.

When the market is flat and interest rates are low, opportunities for strong performance and consistent returns are scarce. But Capital 19 is bucking the trend. The proprietary investment solution, the Weekly Income Strategy, gives you access to a simple strategy targeting strong annual returns. 1.

Why does the Weekly Income Strategy work?

The very popular Capital 19 Weekly Income Strategy is highly regarded by investors seeking regular weekly income because it works! In fact, a considerable amount of independent research has revealed that a strategy of selling options, whether a sold put or a covered call, not only outperforms the index in the long term but does so with less risk.¹

It’s also widely recognised that most option contracts expire worthless, meaning that, at expiration, the seller of those options retains the premiums as a profit. The Chicago Mercantile Exchange (CME) published a study which examined all options from 1997 to 1999 finding that 93.9% of all S&P500 put options left to expiry, had expired worthless.² The Capital 19 Weekly Income Strategy takes full advantage of this fact.

How does the Weekly Income Strategy work?

Every week our experts analyse put options available over the S&P500. Based on their findings they’ll choose which put options to sell at a strike price they expect the market to exceed. Essentially, they do the hard work for you and then you get to choose whether or not to invest.

You’ll receive an email from us whenever we place a new trade, and if you’d like to take the trade you simply reply ‘YES’ and with how many contracts you’d like. We’ll then place the order for you. Each time you sell a put option, income goes into your account. When the market finishes above this strike price, the trade makes a profit.

It’s that simple.

Needless to say, your Options strategy is the best I can find. Many thanks for making us such an excellent ROI.
— Geoff, NSW

What are the benefits of investing?

You’re in Control

It’s up to you whether or not you take the recommended trade. You’re always in control of your account, money and investment journey. You can increase your capital investment, withdraw funds or opt out of the strategy at any time.

A Simple way to Invest. 

Making a trade couldn’t be simpler. Just reply to our weekly email or text message, or call your Capital 19 adviser.

Advice when you need it

If you have any questions, your dedicated account adviser is just a phone call away.

What’s the secret to our investment success?

We’re experts in trading global stocks and options with a focus on the U.S., the largest and most liquid equity market in the world. Since 2007 Capital 19 clients have enjoyed global investment opportunities, trading stocks and options, so why limit yourself by only trading in Australian securities? Join the global investing community today and make more from your capital.

¹ Source: ASX “An Encyclopaedia of Buy Write Returns”
² Source: CME “Exercised/Expired Recap for Expired Contract Report”

Key risks to acknowledge

Various risks are associated with investing and trading in securities. These include, but are not limited to the following:

Leverage Risk- The use of leverage can enhance investment performance but introduces the risk of losing a larger proportion of your capital or equity. Use of leverage may result in higher volatility in net asset values.

FX Risk- We trade on a US exchange, so all profits and losses are in USD. Your actual profits and losses will change according to the current exchange rate when you choose to convert your balance into AUD. There is no FX risk on the capital you’re using to trade as you’re not required to change your AUD into USD to make the transaction.

Market Risk- We consider this to be a high-risk strategy. You’ll experience losses if the index finishes below the strike level of the sold put option and a significant fall may result in 100% loss of funds committed to the trade.

Margin Risk- Selling put options requires you to have sufficient funds in your account to cover the margin of your position. If your account balance drops below the required maintenance margin, you’ll experience a margin call -automatic liquidation of some or all of your positions.

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