TRAKRS BXY

BXY TRAKRS are non-traditional futures contracts that provide a way to obtain exposure to a "buy-write" strategy on the S&P 500 Index. They also enable you to:

• Track the BXY TRAKRS Index
• Gain access to the performance of a hypothetical 2% covered call, or “buy-write,” strategy on the S&P 500 Index using a single transaction

Things to know:

• BXY TRAKRS track the performance of the BXY TRAKRS Index, which in turn tracks the CBOE S&P 500 2% OTM BuyWrite Index (BXY Index), a total return index that is designed to simulate a buy-write strategy on the S&P 500 Index. The Index accomplishes this through
  • A purchase of portfolio of stocks comprising the S&P 500 Stock Index
  • The sale of a succession of one-month, 2% out-of-the-money covered call options on that portfolio, generally on the third Friday of each month
• Ordinary cash dividends paid on the stocks underlying the S&P 500 Index, as well as the option premiums received from writing the 2% covered call options on the S&P 500 Index, are effectively reinvested into the BXY Index and then subject to the price movements of the S&P 500 Index and the call options on the S&P 500 Index

• One contract is listed, with an expiration date of April 27, 2011
• Contracts trade electronically on the CME Globex platform Monday through Friday from 8:30 a.m. to 3:00 p.m. Central time

• You can get free live quotes on TRAKRS through CME DataSuite
• For additional details on the Index methodology, visit www.trakrs.com

©2008 CME Group, Inc.