Testimonials on BXM
From Boston Portfolio Manager
"Rampart has engaged in various options related programs for nearly 20 years. We've always considered option writing a separate asset class requiring a suitable performance benchmark. If one examines the return series from the 1988 inception of the BXM Index through 2001, one will note that the BXM Index produced a nearly identical compound annual rate of return as the S&P 500, but at 65% of the risk.* That's significant."
-- Ronald Egalka, President/CEO, Rampart Investment Management Co., Boston
* A portfolio manager who states that one asset has 65% of the risk of another asset can be referring to the fact that the one asset has a standard deviation of returns that is less than that of the other asset. Note that in the table entitled "Returns and Standard Deviation for June 1988 Through Dec. 2001" the "standard deviation of monthly returns" (a concept some investors generally equate with "risk") was 2.67% for BXM and 4.10% for the S&P 500, and the annualized returns were 13.88% for BXM and 14.07% for the S&P 500. Past performance does not guarantee future results. Please refer to the "Charts on BXM" and "BXM FAQ" portions of the BXM website, and the risk disclosure below, for more information on returns and risks of a BXM strategy.