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WING WING
Short 50 Contracts of June GoldShort 50 Contracts of October Gold
BODY
Long 100 Contracts of August Gold
A "condor trade" is similar to a butterfly spread but has
four or more elements rather than three. An example would be as
follows:
WING WING
Short 50 Contracts of June GoldShort 50 Contracts of December Gold
BODY
Long 50 Contracts of August Gold
Long 50 Contracts of October Gold
The purpose of butterfly or condor spreads is to establish a
position that will create a significant profit or loss on the
long or short position if there is a major move in the price of
gold so a tax benefit can be achieved. At the same time, such a
spread establishes a position that creates a complementary profit
or loss on the other side of the position, thereby creating tax
benefits while eliminating the possibility of gaining or losing
significant equity.
The Hunter Program
Hunter was organized in late 1979 or early 1980 as a Nevada
limited partnership with its principal place of business in
Newport Beach, California. On February 20, 1980, Hunter first
registered with the Commodities Futures Trading Commission (CFTC)
as a Futures Commission Merchant (FCM) and remained an FCM for
all years relevant hereto. All regulated futures transactions
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Last modified: May 25, 2011