When Does The V2 Model Execute Trades?

I have been asked a few times this week about when Vig Co. makes its V2 Model trades.

Here is what we do.

First of all, we never, ever make our trades before we make and send a Change announcement. Most often our newsletter will come out during an evening or on a weekend when the market is closed. Then, we will make the trades in our account during the following session.

Most of the exits or entries are made first thing in the morning. For a series of trades on March 22, as an example, I entered all of the orders prior to market opening. They were executed during the first minute. Nearly all of our performance statistics are based on trading in the morning the day after the change announcement.

In the past, V2 used to make the trades later in the day or after the first hour of trading when things settled down. But the results over the long term were not significantly different if we had done morning trades.

I know some of our Members like to wait until the last 30 minutes of the day to make the trades.

In my view, we are very long-term in our thinking... so if we missed a percent or two in an early morning vs a late-day trade the differences will wash out over time.

In the first few months of the newsletter, I used to update Members during the day if we were going to make a change. But two things were problematic for us. First, Members were frustrated if they missed an email or found it a few hours later. We understand that everyone is busy. ALSO and more important... the math is stronger with closing prices on a daily, weekly, monthly basis. So we use closing prices on many different time frames to see where the model is. Then we decide if we should make a change to our holdings or allocations.

There has not been a case where we altered course after the change notice when out, prior to the next opening. Although, I suppose it is possible. We do try to stay flexible and be nimble, although, the model timing is not day trading, it is a bit slower. Most of the time to our benefit. But if we discovered some math that gave us a better opportunity after sending out a change notice… for sure we would notify everyone at that time.

I hope all of this helps your thinking.

Our V2 Model tracks over 120 asset class ratios to assist us in deciding how and when to allocate our holdings. No single indicator, chart, or list gives market clarity. They each give a point of view that we factor into our model. We do not forecast. We follow the math. It has led us to remarkable long-term performance.

If you are not a Member and would like to see our V2 holdings, allocations, history, and changes as they occur I urge you to subscribe below.

Distance=Victory

Chris

The V2 Model has gained an impressive 1,454%% from 2016 through 2021.

6X the performance of SP500 (2016-2021)

+83.27% 3-Year Annualized Returns (2019-2021)

+69.22% 5-Year Annualized Returns (2017-2021)

V2 Newsletter performance rank compared to all ETFs:

Top 10% 2021 (#243 out of 2867)

Top 1% 3-Year (#9 out of 1896)

Top 1% 5-Year (#4 out of 1896)

Market Data From Morningstar and Etrade.

We do not anticipate what is going to happen. We allocate based on where things are. We do not forecast, we follow the math and work to get on the right side of the next extended trend.

V2 is a proprietary investment Model the results of which we make available in our newsletter. We give our holdings, changes before they occur, our allocations, and performance on an ongoing basis. You can discover more about the Model, our performance, and how it works by checking out our website.

We have researched and developed a pool of common and popular ETFs. We will select which ETFs to invest in based on market conditions and our short-term, medium-term, and long-term trends. We will also model asset class ratio behavior for our decision-making process. Leverage will be used when appropriate and we will short the market in a downturn. If no investments meet our rules, we will go to cash. We will change holdings at any time during the month.

The investment picks may be in large-cap growth, treasuries, leverage, derivatives. We may short the market or go to cash. Holdings may include SPXU, SDS, SH, SPY, SSO, UPRO, TLT, AGG, TQQQ, SQQQ, or CASH at any time.

Chris Vig is president of The Vig Company and is an investor, artist, author, business consultant and former CEO living in Monona, WI. This article is for entertainment purposes only. We may own, buy, or sell any security listed here at any time. Do your own diligence when investing your hard-earned cash. Follow The Vig Company on Facebook.

You can learn more about the model, its holdings, and how it works by going through each link on our website. The V2 newsletter is available for $15 a month. And of course, you can unsubscribe at any time.

THE VIG COMPANY LLC INFORMATION AND NEWSLETTERS ARE NOT A RECOMMENDATION TO BUY OR SELL SECURITIES. WE ARE SIMPLY LISTING THE RESULTS OF OUR MODEL. WE MAY BUY, HOLD, OR SELL ANY SECURITY LISTED IN OUR INFORMATION AT ANY TIME. WE ARE NOT REGISTERED INVESTMENT ADVISORS AND HAVE NO UNDERSTANDING OF YOUR PERSONAL FINANCIAL SITUATION, RISK TOLERANCES, OR INVESTING OBJECTIVES. ANY INVESTMENT DECISIONS YOU MAKE ARE YOUR OWN. PLEASE DO YOUR OWN DILIGENCE WHEN INVESTING YOUR HARD-EARNED MONEY.

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