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General Overview:

  • What is RENTDUE Capital? RENTDUE Capital is an options trading fund designed to deliver consistent returns for accredited investors. The fund’s primary strategy focuses on trading call and put options while prioritizing risk management. It offers investors the flexibility to either withdraw profits quarterly or allow returns to compound.
  • Slogan: “1% per week for investors. Cash flow or compound—your choice.”
  • Mission Statement: To provide high returns, liquidity, and transparency to accredited investors while maintaining disciplined risk management.
  • Fund Strategy: RENTDUE Capital’s trading philosophy is based on daily wins rather than excessive risk-taking. The fund trades primarily on QQQ and SPY with occasional trades in the “big 7” tech stocks: Meta, Microsoft, Nvidia, Tesla, and Google.
  • Trading Method: The fund employs simple call and put options, leveraging these to control large amounts of stock with minimal capital exposure. This approach ensures strategic flexibility and defined risk.

Investor Details:

  • Minimum Investment: $100,000.
  • Who Can Invest? Accredited investors seeking alternatives to traditional retirement plans and frustrated with low-yield investments.
  • Profit Distribution: Profits are distributed quarterly. Investors can choose to:
    • Withdraw returns.
    • Compound their profits back into the fund for exponential growth.
  • Withdrawal Process: Withdrawals are processed quarterly and typically made available within 72 hours, depending on wire transfer timelines. Funds remain liquid.

Performance Highlights:

  • Goal: Achieve a 1% return per week.
  • Historical Performance:
    • Q3 2024 Total Return: 19.14%.
    • Winning Day Streak: 44.
    • Biggest Winning Day: 1.06% (+$79,016.22).
    • Biggest Losing Day: -0.18% (-$13,866.00).
    • Q3 Interest to Investors: 13.4%.
  • November 2024 Performance:
    • Starting balance: $16,837,400.00.
    • Ending balance: $21,318,152.00.
    • Total investors at the end of November: 53.

Risk Management:

  • Risk Per Trade:
    • 1% of the account is risked per A+ setup trade.
    • Multiple trades can occur, each with a 1% risk cap.
  • Daily Loss Cap: Trading halts for the day if losses exceed 3% to avoid chasing losses.
  • Winning Percentage: Over 80% of trades are successful.
  • Leverage: The fund does not use margin or borrowed money. Leverage is strictly through options contracts, allowing control over large stock amounts with minimal investment.
  • Black Swan Events: The largest historical drawdown is 2%. While unforeseen events pose risks, strict rules mitigate these.

Philosophy and Insights:

  • Compounding Wealth: The fund emphasizes the “long game” of compounding returns. Example: $1M compounded at 30% annually for 10 years becomes $13.79M.
  • Consistency Over Aggression: RENTDUE Capital focuses on disciplined, rule-based trading. It prioritizes “NO RED Days,” where daily gains are preferred over high-risk, high-reward trades.
  • Historical Market Insights:
    • Best months for the NYSE Composite (2014-2023): April, June, July, October, November, December.
    • Worst months: January, February, March, August, September.

Common Questions:

  1. What sets RENTDUE Capital apart? RENTDUE Capital’s disciplined options trading strategy, consistent 1% weekly goal, and focus on liquidity differentiate it from traditional funds.
  2. How are returns guaranteed? Returns are not guaranteed but are based on a proven strategy of high-probability trades with an 80%+ win rate.
  3. Can I access the trade log? Full trade logs are not shared, but quarterly performance reports and balance verifications are available.
  4. What’s the fund’s largest risk? The main risk lies in unforeseen “black swan” market events. However, the fund’s strict 1%-per-trade risk rule mitigates potential impacts.
  5. How often can I withdraw funds? Withdrawals are processed quarterly.
  6. Does the fund use AI or automated trading? No, the fund’s success comes from disciplined manual trading strategies based on market analysis and price action.

Additional Notes:

  • Why Options Trading? Options trading offers the flexibility to take positions with limited capital while managing risk. RENTDUE Capital’s use of options allows for high returns without leveraging margin accounts.
  • Opportunity Cost of Breaks: The team occasionally takes breaks to reset and maintain discipline, which is critical for long-term success.
  • The Psychology of Money: Inspired by Warren Buffett’s “secret sauce” of time and compounding, RENTDUE Capital underscores the importance of patience and consistent returns over time.

Contact Information: