Keith Kaplan claims that his “Monday Paydays” provide the opportunity for serious returns in the short term. But are they the real deal? Check out my CoPilot by TradeSmith review for the full scoop.
What Is CoPilot by TradeSmith?
CoPilot by TradeSmith is an options-focused research package and screening tool.
Some perks include recommendations, access to the CoPilot stock screener, educational resources, and more.
Each week, members receive five investment ideas curated by the team’s proprietary algorithm.
The algorithm scrutinizes millions of data points for each stock, such as volatility, media data, and historical price trends.
After sifting through piles of data, it delivers a shortlist of the highest-rated options plays for the week.
There’s much more going on under the surface. And I’ll dive into the specifics as we go, so stay tuned.
Before we get into it, let’s take a look at the platform behind the latest package.
What Is TradeSmith?
TradeSmith is an investment research company that provides a powerful blend of analytical tools and insights.
It was founded way back in 2013. And Keith Kaplan is the company’s current CEO.
Some of TradeSmith’s tools include:
- Advanced risk management tools
- Portfolio analysis tools
- Stock state indicators
- Investment newsletters and more
As you might have noticed, this company’s focus leans much closer to the technical side of things compared to many of its peers.
It initially hit the scene as “a simple way to track portfolios using trailing stops.” But over the years, it has extended its umbrella to help folks find overlooked opportunities on the stock market — and even crypto.
TradeSmith’s biggest strength is that it started out building powerful software and tools — it wasn’t an afterthought tacked on down the road.
This means that its catalog is supported by strong standalone software that have been tuned for almost a decade to bolster its analysis.
For instance, CoPilot applies Volatility Quotient to pinpoint its options recommendations.
What Are Monday Paydays?
Monday Paydays are another name of CoPilot by TradSmith’s options recommendations.
As the name suggests, every Monday, the team delivers options plays vetted by their algorithm.
These recommendations target options contracts that sell calls and puts.
Because you’re selling contracts, you collect income upfront in the form of a premium.
And the premium is collected regardless of whether the contract is executed on.
Each opportunity listed on the “Monday Payday” also displays what Keith refers to as “POP.”
POP means the Probability of Profit. The higher the POP number, the higher the system rates the probability of returns.
There’s a risk-reward element here, as well. Some of the five weekly trade ideas will have a lower POP score, but higher payout potential.
It’s a good addition that lets members select which opportunities are best-suited for them.
And it’s this flexibility that gives the system such broad appeal.
Something to keep in mind is that selling uncovered calls can be very costly if a seller is assigned. So it’s a good idea to make sure you understand the risks of this particular strategy.
Backtesting the Algorithm
In the latest presentation, Keith Kaplan offers some insights into the extensive backtesting used to fine-tune the Monday Payday Algorithm.
Out of a total of 92 trades between September 2021 and August 1, 2022, the system displayed a rock-solid 93% success rate.
In other words, 86 out of 92 trades were winners — not too shabby.
This performance is even more impressive when considering that the algorithm navigated the choppy waters of an exceptionally volatile market with incredible precision.
The secret to the system’s success is that it doesn’t play favorites, and it’s not swayed by factors such as biases, politics, and the like.
Or as Keith puts it:
“Keep in mind this is completely different from getting a list of trades suggested by a stock analyst.
That’s prone to bias and human error. The Monday email is different. The Monday Paydays it features are found out of thousands of opportunities by a computer algorithm.”
Essentially, the goal of the system is to provide impartial analysis of stocks.
And according to the team, it’s succeeding with flying colors.
What Comes with the Service?
CoPilot is packed with a whole host of valuable resources.
Read along for a breakdown of each one.
Monday Payday Income Recommendations
Every Monday, the team sends over five trade ideas via email.
As mentioned, these are the top opportunities that the system has identified for the week.
It provides the ticker and POP score, and you can access them all 24/7 through the CoPilot by TradeSmith website.
This is an easy-to-use system that could gel well with beginners who don’t want to get bogged down in the details or folks with more experience who just want the opportunities without the long-winded pitch.
Monday Payday Quick-Start Guide
This primer teaches you everything you need to know about the team’s “Monday Payday” system.
Compared to other services, these alerts are pretty self-explanatory, so this isn’t required reading.
That said, it could be a good resource for newcomers who want to learn about the nuts and bolts of the system.
Understanding the methodology behind the strategy and elements, like POP scores, could better equip you to decide which options are best for you.
This resource also covers some of the basics, such as setting up your first trade and how the income end of the strategy functions.
All in all, it’s a handy feature that’s worth at least skimming over — even if you have more experience trading options.
52 Weeks of CoPilot by TradeSmith
A membership also includes the same tool the team uses to pinpoint opportunities.
This options screening software can filter and track opportunities based on a variety of criteria, such as days to expiration, Probability of Profit, ROI, max profit, and more.
You can also use it to set up watch lists.
The tool is surprisingly comprehensive and intuitive. And folks who prefer self-directed trading could find a lot to like about it.
If you’re new to trading, it’s still worth hopping in and taking for a spin.
That said, it might be ideal to hit TradeSmith’s options education first so you have all your ducks lined up in a row before tackling the market head-on.
5-Part Options Masterclass
This video series is ideal for folks who want to learn the ins and outs of options trading.
Where the quick-start guide offers an in-depth view into the “Monday Payday” system, this resource delves into general strategies that could be applied outside the service.
It’s a great place to start for fresh faces who are still getting their sea legs.
Another big plus is that it delves into strategies that could help earn income outside the “Monday Payday” recommendations.
Customer Care Team
If you need any help with the CoPilot by TradeSmith’s tools, you can reach out to the customer care team.
This is a pretty fantastic bonus that goes above and beyond what you would typically see in the industry.
Usually, customer care teams simply help with a subscription, payment, refund, etc.
So it’s a big step-up to have TradeSmith’s team in your corner to assist you with the actual tools you’re paying for.
90-Day Satisfaction Guarantee
Under the latest deal, new memberships are backed by CoPilot by TradeSmith’s 90-day satisfaction guarantee.
So you have about three months to test the waters. And if you feel it isn’t a good fit, you can opt for a credit for the cost of your subscription.
Credit can be put toward another TradeSmith product.
While I would prefer cashback, 90 days is a generous window to check out the service.
Plus, TradeSmith has been in the business since 2013, so it’s built up a strong catalog of offerings over the years.
Is the Service Legit?
CoPilot by TradeSmith is a legit research service.
It boasts a 93% win rate. And the team’s algorithm cuts through the bias that’s become a fixture in the investment research space.
Also, as mentioned, one of TradeSmith’s strongest suits is its extensive history in building stand-alone tools for market analysis.
The company has carved out a cozy niche through its sophisticated software and easy-to-use system for options trading research.
Pros and Cons
The service has many standout features, but there are some places it could improve.
- 60% discount
- Five options recommendations a week
- Trading education resources
- Access to CoPilot software
- Discount carries over to renewal
- No community forums
- 90-day satisfaction guarantee
How Much Does It Cost?
CoPilot by TradeSmith typically costs $5,000 for an annual subscription.
However, the team currently has a special deal running where new members can sign up for $2,000 for the whole year.
This shakes out to a rock-solid 60% discount.
The price tag is on the premium end, but it’s cheaper than many competing services in the same bracket.
Many similar premium services I’ve seen run for about $2,500 (discounts included).
Aside from the discount, there’s something else to like about CoPilot’s pricing.
The 60% discount carries over to the next subscription.
Many alternatives only offer introductory rates, so the cost increases when the subscription renews.
With CoPilot, the discount actually carries over to the next renewal.
If you plan to hold the service for more than a year, you’re effectively getting two subscriptions for less than the price of one.
Is the Service Right for Me?
CoPilot by TradeSmith is best suited for anyone interested in high-quality recommendations centered around selling calls and puts.
The service does not deal in crypto, buy-and-hold strategies, penny stocks, day trading, etc.
CoPilot has a strict focus, and that’s probably for the best.
The service is also a good fit for options purists looking for a steady stream of weekly opportunities with most of the heavy lifting out of the way.
Because its recommendations could include uncovered calls, you’ll want to make sure you have the risk appetite to match this strategy.
If you’re not comfortable with the risks associated with selling uncovered calls, it might be better to focus on Monday Paydays based on selling puts.
Another group that could benefit from the service is people who want a chance at weekly income with a higher profit potential.
Other income investment vehicles, like dividends and REITs, could do the job, but the average returns are often overshadowed by options.
Is CoPilot by TradeSmith Worth It?
CoPilot by TradeSmith is a great research service with a solid price.
The $2,000 cost may cause some sticker shock when compared to introductory alternatives, like monthly investment newsletters. But compared to many premium competitors of its ilk, this is an excellent value.
Members receive five options plays a week. And the POP system lets you choose the risk-reward balance best-suited to you.
Plus, the team provides comprehensive resources for beginners to build their knowledge base with options trading.
Even better, you can access a top-tier options screener to locate opportunities of your own.
And it’s all backed by the team’s 90-day satisfaction guarantee.
All in all, this is an impressive package.
Keep CoPilot on your radar if you’re in the market for rigorously vetted options plays with potential.