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| Like many passive indexes, the BXM Index does not take into account significant factors such as transaction costs and taxes. Because of factors such as these, many or most investors should be expected to underperform passive indexes. In the construction of the hypothetical BXM index, the SPX calls are assumed to be written at the reported bid price, usually at 10:00 a.m. Chicago time on the third Friday of the month. However, there is no guarantee that all investors will be able to sell at the reported bid price at 10:00 a.m. and investors attempting to replicate the BXM Index should discuss possible timing and liquidity issues. Transaction costs for a buy-write strategy such as the BXM could be significantly higher than transaction costs for a passive strategy of buying-and-holding stocks. Past performance does not guarantee future results.
Rampart¨ is a registered trademark of Rampart Investment Management Company, Inc. Standard & Poor's¨, S&P¨, and S&P 500¨ are registered trademarks of The McGraw-Hill Companies, Inc. and are licensed for use by the Chicago Board Options Exchange, Incorporated (CBOE). CBOE, not S&P, calculates and disseminates the BXM Index. CBOE¨, Chicago Board Options Exchange¨ and CBOE Volatility Index¨ (VIX¨) are registered trademarks of the CBOE, and SPXSM and CBOE BuyWrite Monthly IndexSM are service marks of the CBOE. The methodology of the CBOE BuyWrite Monthly IndexSM is owned by CBOE and may be covered by one or more patents or pending patent applications. The CBOE BuyWrite Monthly IndexSM is licensed for use to Rampart Investment Management Company by Chicago Board Options Exchange, Incorporated.
Neither CBOE nor S&P in any way sponsor, endorse, or are otherwise involved in the Rampart BXM Strategy. CBOE and S&P disclaim any liability to any party for any inaccuracy in the data on which the BXM index is based, for any mistakes, errors, or omissions in the calculation and/or dissemination of the BXM index, or for the manner in which the BXM is applied in connection with the Rampart BXM Strategy. Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options (ODD). Copies of the ODD are available from brokerage firms, by calling 1-888-OPTIONS, or from The Options Clearing Corporation, One North Wacker Drive, Suite 500, Chicago, Illinois 60606. Supporting documentation for claims, comparisons, recommendations, statistics or other technical data will be supplied upon request |
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