OPTIONS OVERLAYS
Institutional Options Overlays for Private Capital
Odyssey specialises in actively managed options overlays, providing eligible clients access to specialist options management through separately managed portfolios. Each mandate is designed around the client’s objectives, existing portfolio, liquidity requirements and agreed risk parameters.
Select the overlay according to the portfolio objective.
Each approach has a different role. Covered Calls focus on generating premium from securities already held. The Wheel combines cash-secured puts and covered calls. Income PLUS+ uses a broader toolkit of listed-option strategies.
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Structured covered-call programmes designed for clients seeking additional option premium from existing portfolio holdings, while recognising that upside can be capped and assignments can occur.
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A systematic approach combining cash-secured puts and covered calls for clients prepared to acquire and hold selected securities within clearly defined mandate and risk parameters.
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Odyssey’s broader actively managed options-overlay framework can use a range of listed-option strategies according to the client’s portfolio, target outcomes and agreed risk parameters. The emphasis should be on mandate design and active management rather than a fixed product label.
MANDATES FROM USD500,000
Specialist options-overlay mandates are available from USD500,000, subject to investor eligibility, suitability, jurisdiction and strategy design.
OUR SPECIALIST EDGE
Options overlays are a core investment capability at Odyssey. We manage the overlay as an ongoing portfolio process, combining professional options management, active monitoring and disciplined risk controls rather than relying on a static or one-size-fits-all strategy.
MORE THAN A DECADE OF OPTIONS EXPERIENCE
Odyssey’s investment team brings more than a decade of experience managing listed-options strategies and portfolio overlays.
PERFORMANCE-ALIGNED FEE STRUCTURE
For applicable mandates, Odyssey charges a 20% performance fee on net options P&L under the agreed client terms. This means a material component of Odyssey’s remuneration depends on successful options-overlay performance.
CUSTODY, EXECUTION & REPORTING
Client accounts can be maintained with Interactive Brokers, subject to jurisdiction and account structure. This supports transparent custody, efficient execution, detailed transaction reporting and portfolio-level visibility.
PROCESS
From portfolio review to ongoing management.
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ASSESS
Review holdings, objectives, liquidity, tax considerations, restrictions and risk tolerance.
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DESIGN
Select the appropriate overlay structure and determine suitable instruments, expiries and sizing.
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IMPLEMENT
Execute through the client’s approved custodian or trading account subject to mandate terms.
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MONITOR
Track risk, margin, underlying prices and market conditions throughout the life of each position.
RISK CONTROL IS PART OF THE STRATEGY, NOT AN AFTERTHOUGHT.
Options can introduce leverage, assignment, volatility and liquidity risks. Odyssey’s process therefore combines strategy selection with position sizing, diversification, liquidity assessment and ongoing monitoring.
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MANDATE FIRST
The overlay is applied within the client’s agreed portfolio mandate and risk parameters.
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POSITION SIZING
Trade sizing is calibrated to portfolio value, strategy risk and aggregate portfolio exposure.
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DEFINED RISK WHERE APPROPRIATE
Spread structures may be used to cap downside and make risk explicit before execution.
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ACTIVE MANAGEMENT
Positions are monitored and may be adjusted, closed or rolled as market conditions evolve.
DISCUSS AN OPTIONS OVERLAY FOR YOUR PORTFOLIO