Frequently Asked Questions

Everything you need to know about Infolytics, our iron condor strategy, and how to get started with options selling.

About Infolytics

What is Infolytics?

Infolytics is a premium options trading alert and education platform that shares real-time trade setups for selling iron condors on SPX (S&P 500 Index) and RUT (Russell 2000 Index). We use a proprietary algorithm to identify favorable +EV (positive expected value) setups and deliver alerts via our web app and Slack.

What trading strategy does Infolytics use?

We specialize in selling iron condors - a neutral options strategy that profits when the underlying index stays within a defined range at expiration. Our algorithm identifies setups where the probability and reward favor the trade, categorizing them by levels (L1-L4) based on market conditions.

Is Infolytics a signal service or education platform?

Both. We provide real-time trade alerts with specific strike prices that members can follow, AND we provide education on the strategy, risk management, and position sizing. Members learn while they trade.

The Strategy

What is an iron condor?

An iron condor is a market-neutral options strategy that combines a bull put spread and a bear call spread. It profits when the underlying asset stays within a specific price range until expiration. The strategy has defined risk - you know your maximum profit and loss before entering the trade.

Why trade SPX and RUT instead of individual stocks?

Index options like SPX and RUT offer several advantages: cash settlement (no assignment risk), European-style exercise (no early assignment), favorable 60/40 tax treatment under Section 1256, high liquidity, and diversified exposure. They're ideal for premium selling strategies.

What are trade levels (L1, L2, L3, L4)?

Trade levels categorize setups based on market conditions and probability. L1 trades have the highest probability and are taken in favorable conditions. Higher levels (L2-L4) may have slightly lower probability but offer different risk/reward profiles. This helps with position sizing and risk management.

What does +EV mean?

+EV stands for positive expected value. It means that over many trades, the strategy is expected to be profitable based on the probability of winning versus the risk/reward ratio. Our algorithm only identifies setups where the math favors the trade.

Alerts & Platform

How do I receive trade alerts?

Alerts are delivered in real-time through our interactive web app (available on mobile and desktop) and via Slack. The web app displays all alerts, daily data, performance tracking, and historical trades. You can access it from any device.

What information is included in each alert?

Each alert includes: the symbol (SPX or RUT), trade level (L1-L4), specific strike prices for both the call and put spreads, and the current price. You get everything you need to place the trade in your own brokerage account.

Do you trade every day?

No. Our algorithm is disciplined and skips trading on days when conditions are unfavorable. We only trade when we identify a +EV setup. Quality over quantity.

What times are alerts sent?

Alerts are sent during market hours when our algorithm identifies a favorable setup. SPX and RUT options trade during regular market hours (9:30 AM - 4:00 PM ET).

Risk & Position Sizing

How much capital do I need to start?

The minimum recommended buying power is around $6,120 for 2 contracts. Our scaling matrix helps you size positions appropriately: $6,120 = 2 contracts, $30,600 = 10 contracts, $61,200 = 20 contracts, $97,920 = 32 contracts.

What is the maximum loss on a trade?

Iron condors have defined risk. The maximum loss is the width of the spread minus the premium received. For example, with $50 wide spreads and $1.80 credit, max loss is $3.20 per share ($320 per contract). You know this before entering.

What is your win rate?

Our historical win rate has been approximately 73-76% across 2024-2026. However, past performance does not guarantee future results. The strategy is designed for consistent, probability-based returns over time.

Can I lose money?

Yes. While our strategy has a positive expected value, individual trades can and do lose. That's why proper position sizing and risk management are essential. Never risk more than you can afford to lose.

Getting Started

What broker do I need?

You need a brokerage account approved for options trading, specifically for selling spreads. Popular choices include TD Ameritrade/Schwab, Tastytrade, Interactive Brokers, and E*TRADE. The broker must support SPX and RUT index options.

Do you manage my money or place trades for me?

No. Infolytics is an educational and alert service. You receive trade setups and place trades in your own brokerage account. You maintain full control of your capital and trading decisions.

How do I join Infolytics?

Start by booking a free discovery call. We'll discuss your trading goals, experience level, and whether Infolytics is a good fit for you. There's no pressure - it's a conversation to see if we can help.

Is there a free trial?

We offer discovery calls to discuss the service and answer your questions. Contact us to learn about current membership options and any trial availability.

Tax & Legal

What are the tax implications of trading index options?

SPX and RUT options qualify for Section 1256 tax treatment: 60% of gains are taxed as long-term capital gains and 40% as short-term, regardless of holding period. This can provide significant tax advantages. Consult a tax professional for your specific situation.

Is Infolytics a registered investment advisor?

No. Infolytics is an educational service that shares trade ideas. We do not provide personalized investment advice, manage money, or make trading decisions on your behalf. Members trade at their own risk.

Still Have Questions?

Book a free discovery call to discuss your trading goals and get personalized answers to your questions.

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