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Frequently Asked Questions, Answers, and Instructions

 


Q. What exactly is the Simple VIX Profits system?

A. This is a premium recommendation service where I do all of the analysis work for you.

The system switches back and forth between two Exchange Traded Products (ETPs), which are the XIV and the VXX.  You are almost always in one or the other ETP.  If you had followed this system over the last 10 years, you would have only been out of a trade for 7 days.  And, even though you’re almost always in a trade, it’s usually for a long duration.  We hold on to the winning trades as long as possible, but if a trade isn’t going well, we exit as quickly as possible.  You only need to log in to our secure web site each trading morning by 8:30 a.m. ET and follow the precise instructions.

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Q. Do you email me the recommendations?

A. Although email is convenient, its reliability is not 100%. Instead, we post the recommendations to a private, secure web site that has an uptime rating greater than 99.95%.  You can log in from any mobile device or computer with internet connection.

If there ever is a need to provide you with an update of any kind, we will post the update to the web site every trading morning.  The update is done by 8:30 a.m. ET on days the markets are open.

IMPORTANT:  Be sure the “Updated Date” reflects the current days date.  If not, the update is not completed yet.  (Please note:  Updates are only on days the markets are open.)

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Q. Upon what trading methodology is the Simple VIX Profits system based?

A. It’s based on one of the best kept secrets of market professionals like us.  It’s based on how individual investors have a distorted sense of probability.

This alone lets those of us who are in the know make vast sums of money quickly and easily, because we know what to look for.  The result is a shockingly simple way to generate huge profits from volatility.

Through our extensive testing and research we refined the process which has created great returns, like those shown in the track record and testimonials.

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Q. Are you in the market all the time, or are there lengthy dead periods?

A.  There is hardly ever a dead period.  This method switches back and forth between the XIV and VXX.  How often you are in either one depends on the proprietary indicator that I use to determine which of these two instruments to be invested in.  If you had been following this system over the last 10 years, there were only 7 days of being out of a trade.
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Q. How do you identify your trades?

A. I take two simple numbers from publicly available market data and calculate the value of a proprietary indicator I created.  Depending on the value, I then instruct you on what to do for a position.
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Q. What does a new recommendation look like going into the XIV?

A. Here’s an example of a new recommendation where we are exiting any VXX positions we’re holding and buying XIV:

Let’s go over what you see in the snapshot above.

The top line shows the current date to let you know the service is updated with the new instructions. The date is in this format (Year-Month-Day)

The next line down shows you where our Volatility Risk Premium Indicator currently stands (ABOVE zero at 0.01682).  If you look at the graph below the instructions, notice the red vertical lines.  The last one on the right reflects the current indicator. 

The next sentence (That indicates that investors are currently OVERESTIMATING volatility) explains what that means to this trading system.

Next is an explanation of how the current trade in XIV makes a profit by the expectation of further declines in expected volatility, and how the  XIV generates profits when volatility expectations decline.

Last but not least, the current instructions to follow.  In this case, EXIT ANY VXX POSITIONS YOU ARE HOLDING AND BUY XIV.
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Q. What does a recommendation look like if we’re already in the XIV?

A. Here’s an example of a recommendation where we are HOLDING XIV.  Notice there are instructions for New Subscribers too:

As shown above, the current instructions:   Continue to hold your position in XIV.

On the last line above the chart, notice the Instructions For New Subscribers.  These instructions are only for brand new subscribers who are signing in for the first time that day.  In this case:  BUY XIV.   If you already have a position in XIV from a prior day, do not add to it.
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Q. How are instructions given for exiting XIV and switching to VXX?

A. Following is an example of switching from XIV to VXX:

Let’s go over what you see in the snapshot above.

The top line shows the current date to let you know the service is updated with the new instructions. The date is in this format (Year-Month-Day)

The next line down shows you where our Volatility Risk Premium Indicator currently stands (BELOW zero at -0.04313).  If you look at the graph below the instructions, notice the red vertical lines.  The last one on the right reflects the current indicator. 

The next sentence (That indicates that investors are currently UNDERESTIMATING volatility) explains what that means to this trading system.

Next is an explanation of how the current trade in XIV makes a profit by the expectation of further increases in expected volatility, and how the  XIV generates profits when volatility expectations rise.

Last but not least, the current instructions to follow.  In this case, EXIT ANY XIV POSITIONS YOU ARE HOLDING AND BUY VXX.  
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Q. What does the recommendation look like when we are holding VXX?

A. Here’s an example of HOLD instructions when you’re already in a VXX position:

Current instructions are:   Continue to hold your position in VXX.

Next you’ll see Instructions for New Subscribers which simply tells them to BUY VXX.  Remember that these instructions are for “New Subscribers” only who are just logging in that day for the first time.  These do not mean to add to your existing position in VXX if you’re already holding from a prior day.
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Q. Are we ever on the sidelines and not in a position, and if so, what does that look like?

A. On very few occasions (only 7 days out of the last 10 years), there are times that our additional filter VVIX tells us to be entirely out of either position and on the sidelines until the signals change. Once again, this rarely ever happens, but when it does this is how the recommendation will appear:

Current instructions are:   EXIT AND AND ALL POSITIONS and login each day for further instructions.

Remember this VVIX indicator does not stay neutral very long, and usually only for a day.  Therefore it is very important to log in each day for any new signal to get back into a position.
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Q. If I get filled on the recommendation, what do I do next?

A. You need to log in every trading day by 8:30 am ET to see if there are any changes to the current position.  It’s really that simple.  All updates are posted once per day in the morning before the market opens (on market days only).  Remember, no emails are sent.  You must log in for updates.
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Q. Should I use a certain price or limit to get filled on the trade?

A. The instructions to either buy a new position or sell an existing one will always be at-the-market, and meant to be initiated the same day.  No limit order is given.
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Q. What type of exit instructions do you give?

A. I always tell people that it’s important to treat trading like a business — and I do! Therefore when it’s time to get out of one position and into another, I give you clear and precise instructions.

Following is a copy of what you will see if a signal changes and you are exiting from XIV to VXX:

There will also be times on very few occasions (only 7 days out of the last 10 years) where you will be given instructions to exit completely out of any and all positions and wait on the sidelines until we tell you to get back into a position.  When that occurs, here is a snapshot of what you will see:

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Q. What is the typical duration of a trade?

A. The duration of a trade is dependent on the systems proprietary indicator.

Whenever it’s time to make a move or a change to any current trade, I will post precise instructions telling you when to exit the current position and switch to the other ETP, or just get out entirely.  Just remember to log in every trading morning to see if there are any new instructions to follow.

Here’s an example of what you will see when there is a switch instruction from VXX to XIV:

Notice the instructions are to “Exit Any VXX Positions and Buy XIV”.  Do both of these at-the-market the same day.  That’s all there is to it.  Then remember to log in each market day to see if there are any changes.
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Q. How many trades are typically open at any one time?

A. Since this system is so super simple, you’re only in one trade at a time.  You will, however, see instructions to exit out of the position you’re currently in along with the instructions on getting into the new position the same day if the signal changes.  Or you may see instructions to get out entirely and remain on the sidelines, if the signal indicates, even though that occurrance is very rare.

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Q. How does the performance guarantee work?

A. We guarantee that you, the subscriber, will double your trading account by the end of your one-year subscription, or we will extend your subscription for one-full year at no charge to you.  If you opted for a two-year subscription, your guarantee would be applicable at the end of your two-year subscription.  (Any subscription less than a one or two year subscription has No Guarantee and is Not Refundable.)
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Q. Do I get to keep the Simple VIX Profits DVD Bonus even after my subscription ends?

A. YES! The DVD is yours to keep, no matter what. Realize, however, that the material in the video is copyrighted, so you may not share it, copy it or redistribute it.
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Q. Can I implement the Simple VIX Profits recommendations using an online brokerage?

A. Most online brokers now give you the capability to enter all the necessary information to implement the trades correctly. Just make sure your online brokerage provides you the ability to enter your order with the correct data.   (i.e.:  Buy to open (Current TRADE) at the market (ATM), good for the day).

There are no special requirements to trade this system except cash secured in your trading account, since you are trading shares and not options.  However, be sure to consult with the broker of your choice regarding their requirements.
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Q. Are there any qualifications required?

A. There are no qualifications required to subscribe. If you want to subscribe in order to learn, that’s fine with us.

But if you want to trade the recommendations, you are simply buying an ETP at-the-market to open  or selling an ETP at-the-market to close the position, or better yet simply HOLDING the current position.  On rare occasions you may be out entirely and on the sidelines for a day or so, although this seldom occurs.  In fact that has only happened for 7 days out of the last 10 years.join-now
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Q. How much does it cost to get into a trade?

A. A single trade cost is less than $100 to implement, plus your broker fees.
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Q. Does this require margin?

A. No.  Whenever a signal changes, you are simply buying an ETP (XIV or VXX) to open a trade, or selling the current ETP you’re in to exit the trade, or getting out entirely on rare occasions.  Otherwise you are holding the position you’re in. No margin is required.
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Q. How much money do I need to do the Simple VIX Profits system?

A. We don’t have a minimum account size recommendation. As stated
above, there are no requirements for you to trade the recommendations. You can subscribe to this service just to learn. If, however, you do trade, you’ll need to open an account.

There are no special requirements to trade this system except cash secured in your trading account, since you are trading shares, not options.  However, be sure to consult with the broker of your choice regarding their requirements.

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Q. In the track record it shows you began with a $10,000 account, but how many of each trade was done?

A. ETP’s are bought and sold in shares.  Our track record shows a beginning account size of  $10,000 which was used toward XIV as many times as it’s price on 12-31-10 allowed.  Each time you switch to a different ETP per the instructions, you take the entire account that you are switching and divide that into the price of the ETP to determine how many shares you implement, or whatever portion of your account you wish to allocate toward trading this method.
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Q. How do I access the trades?

A. Go to www.donfishback.com and press the red SIGN IN button. You’ll be asked to enter your email address and your password.  You will then see your new subscription listed under  “Current Subscriptions” as a link that says “Go To Simple VIX Profits”.  Click that link to access daily.
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Q. What if I still have questions?

A. Just let us know. You can send an email to: support@donfishback.com or call our Support Line: (859) 224-4424.
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Important information:

Fishback Management and Research, Inc. (FMR), its principles and employees reserve the right to, and indeed do, trade stocks, mutual funds, options, exchange traded products and futures for their own accounts. FMR, its principals and employees will not knowingly trade in advance of the general dissemination of trading ideas and recommendations. There is, however, a possibility that when trading for these proprietary accounts, orders may be entered, which are opposite or otherwise different from the trades and positions described herein. This may occur as a result of the use of different trading systems, trading with a different degree of leverage, or testing of new trading systems, among other reasons. The results of any such trading are confidential and are not available for inspection.

This publication, in whole or in part, may not be reproduced, retransmitted, disseminated, sold, distributed, published, broadcast or circulated to anyone without the express prior written permission of FMR except by bona fide news organizations quoting brief passages for purposes of review.

Due to the number of sources from which the information contained in Simple VIX Profits is obtained, and the inherent risks of distribution, there may be omissions or inaccuracies in such information and services. FMR, its employees and contributors take every reasonable step to insure the integrity of the data. However, FMR, its owners and employees and contributors cannot and do not warrant the accuracy, completeness, currentness or fitness for a particular purpose of the information contained in Simple VIX Profits.

OPTIONS AND EXCHANGE TRADED PRODUCTS (ETP) INVOLVE RISK AND ARE NOT SUITABLE FOR ALL INVESTORS

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS

Prior to buying or selling an option or an exchange trade product, a person must receive a copy of Characteristics and Risks of Standardized Options or consult with your tax professional or broker. You can access the Options Disclosure Document at

http://www.optionsclearing.com/about/publications/character-risks.jsp

SOME OF THE TRADE EXAMPLES IN OUR COURSES AND NEWSLETTERS AND NEARLY ALL OF THE HISTORICAL EXAMPLES CONTAINED IN THE MARKETING MATERIALS INCLUDE HYPOTHETICAL EXAMPLES FOR ILLUSTRATION PURPOSES. Although we do not provide any futures information, the CFTC provides an excellent description of the limitations of hypothetical trades and, therefore, we are providing it to you:

HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

Trademarks: All trademarks and registered trademarks are the property of their respective owners.

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