Managed Covered Call Income: Monthly USD Distributions

Disclosure. For US accredited investors under Reg D 506(c). Informational only; not an offer. Any commitment requires accreditation verification, KYC/AML, and definitive documents. Targets are estimates. Capital is at risk.

Managed Covered Call Income: Monthly USD Distributions

Goal: steady USD income without you managing options. We run a rules-based covered call program on liquid US exposures, collect option premium and dividends, and pay on a monthly cycle. Upside is capped by design. Drawdowns still happen. We tell you straight and show the policy.

Structure: Private LP/LLC under Reg D 506(c) Payout: Monthly USD policy Custody: US broker/custodian Reporting: Monthly statements, annual audit

1) Snapshot

Item Outline
Vehicle Private LP/LLC. Reg D 506(c). Verified accredited investors only.
Mandate Managed covered calls on US-listed exposures with strict risk limits and trading rules.
Payout policy Monthly USD distributions after expenses and reserves. Not guaranteed.
Risk profile Equity market risk, capped upside, assignment risk, gap moves. No fairy tales.
Minimum Typically $250k. Larger tickets prioritised.
Liquidity Periodic windows with notice. Gates may apply in stress.
Fees Base management plus performance over a preferred return. Full schedule in the PPM.

2) How Income Is Generated

  • Option premium: Systematic call writing over core exposures.
  • Dividends: From underlying holdings where applicable.
  • Recycling: Rolling and re-striking positions to keep cash working.
  • Reserve: 1 to 2 months of payouts held to smooth weak periods.

3) Trading Rules That Matter

  • Strike discipline based on target delta bands and realised volatility.
  • Days-to-expiry ladder with weekly cycles as core, monthlies for balance.
  • Roll criteria: profit target, time decay threshold, or risk-off trigger.
  • Earnings and macro blackout rules to avoid dumb assignment.
  • Concentration caps across underlyings and sectors.
  • No exotic options or leverage-on-leverage. Keep it boring and repeatable.

4) Payout Mechanics and Examples

Illustrative monthly distribution on a $1,000,000 allocation:

Scenario Net annual rate (policy) Illustrative monthly distribution
Soft month 5% $4,166.67
Base month 7% $5,833.33
Strong month 9% $7,500.00

Distributions vary with market tone and realised volatility. Reserve policy can help smooth, not erase, variability.

5) Risks, Plain Talk

  • Market drawdowns: Equity beta still hits NAV.
  • Upside cap: Covered calls trade upside for current income.
  • Gap moves and assignments: Fast markets can jump strikes.
  • Volatility regime shifts: Premiums shrink when vol collapses.

6) Reporting and Tax Outline

  • Monthly statements with income components and positions.
  • Annual audit and year-end tax package. Structure drives whether you receive a 1099 or K-1.
  • No advice given here. Speak with a CPA about your facts.

7) Eligibility and Process

  • Confirm accredited status under Reg D 506(c). Verification is required.
  • Receive PPM, subscription documents, payout policy, and risk factors.
  • Fund on the call date. First distribution after initial accrual per policy.

Ready to allocate to a managed covered call income strategy with monthly USD payouts? Request the pack and start accreditation.

Request Allocation Start Accreditation

Disclaimers

  • Not an offer or solicitation. Any offer is made only through definitive documents.
  • Targets are estimates, not promises. You can lose capital.
  • Liquidity is periodic and may be gated to protect existing investors.

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