THE IXTHYS LETTER Issue 2 / November 2015

WHAT IS IXTHYS?

IXTHYS is Greek for “fish,” a symbol of both sustenance and

provision. As a company, IXTHYS is both an investment advisory

service and a Personal Finance System™ designed to help everyone

get out of debt, invest wisely, maximize income and build lasting

wealth.

Q: How does IXTHYS find its investment opportunities?

A: Every day we scan the markets for companies with strong organic

growth, trading at a reasonable price, with competent management

and high ethical standards. We time our entries using technical

analysis and hold as long as the company continues to perform.

Q: How does IXTHYS help me during market downturns?

A: Every subscriber has access to our IXTHYS Market Direction

Indicator™ (MDI) which alerts to an oncoming bear market with 91%

accuracy. We use the MDI to move funds into the IXTHYS Safe

Haven Portfolio™ which allows us to profit from market corrections.

“Honor the Lord with your wealth, then your barns

will be filled with plenty.” – Proverbs 3:9

IN THIS ISSUE

1. How to Use the IXTHYS

Letter

2. IXTHYS Market Direction

Indicator™

3. Current Market

Commentary

4. Highlighted Investments

for September

5. Current IXTHYS Portfolio

with buy-sell-hold signals

6. Past Performance

Statistics

7. Educational Article

8. Inspirational Thought of

the Month

HOW TO USE THE IXTHYS LETTER

1. Check the IXTHYS Market Direction Indicator™ (MDI) and Market Commentary sections so you

know what kind of market we are currently in. Any change in the MDI signal between monthly

updates will be emailed to subscribers.

2. Read the instructions given with The IXTHYS Portfolio™ which are based on the current MDI

signal. Adjust your current holdings accordingly. If you are new to The IXTHYS Letter, consider

buying one or more of the holdings in The IXTHYS Letter as directed (those with a “Buy” rating).

Consider adding to any IXTHYS Portfolio companies you already own that have a “buy” rating and

selling any that have a “Sell” rating. Note that we hold up to 18 positions in The IXTHYS

Portfolio™, depending on market conditions, so determine your position size on this basis.

3. Read though the Highlighted Investments for this month to see whether these investments fit your

own investing style and risk tolerance.

4. If the IXTHYS MDI™ signals that we are in a bear market, consider reducing your positions in The

IXTHYS Letter (we recommend 50% of your initial investment) and putting any uninvested cash

into the IXTHYS Safe Haven Portfolio™ as directed.

5. The IXTHYS Plan for Personal Finances™ is Dr. Carr’s method for stewarding your personal

finances. It is intended to help you increase your income, multiply that increase, and build lasting

wealth through strategic investments. This section of The IXTHYS Letter is under development,

but in future issues you will have access to short videos that explain the various components of the

Plan. You can learn more about the IXTHYS Plan by watching this introductory video: CLICK

HERE

IXTHYS MARKET DIRECTION INDICATOR™

Current Market Direction Indicator™: DOWN MARKET.

Date of signal: September 21, 2015.

MDI Signal Strength: -0.7. (Last update: 10/31/15) The range of

the MDI Signal is from +5.0 to -5.0. A cross of the 0-line indicates a

shift from UP to DOWN or DOWN to UP.

Date of previous signal (UP MARKET): January 9, 2012.

Gain/Loss of that signal: +51.6%

Please note that any change in the MDI between now and the next

issue of The IXTHYS Letter will be sent to you as an alert by email.

IXTHYS MARKET COMMENTARY

The MDI Signal Strength has risen from -1.3 in our last issue to -0.7 in this issue. This rise reflects the recent

bounce in the markets since hitting a low at the end of September. October’s climb of +8.2% is one of the

strongest on record. Historically, a strong October spells a bullish market into January, so look for more

strength ahead. However, the S&P is now near strong resistance at 2100 and this may put the brakes on the

rally for the short-term. Monday’s jobs report will likely set the tone for the first half of the month.

Our thesis remains intact: that the recent market weakness is a correction in an overall cyclical bull market that

should resume later in the year. The MDI has signalled a DOWN MARKET but this can reverse with continued

upside pressure. Still, we strongly advise remaining cautious until the MDI reverses course. Use of the

IXTHYS Safe-Haven Portfolio™ is strongly recommended.

IXTHYS INVESTING ADVICE

Given current market conditions, we consider it best to do the following:

Maintain 50% core positions in The IXTHYS Portfolio™ stocks

Consider adding one or two new positions up to a 50% position size

Put any cash to work in the IXTHYS Safe Haven Portfolio™

Current IXTHYS Market Direction Indicator™ Chart

Questions? Contact Us

www.ixthysletter.com

support@ixthysletter.com

THE IXTHYS PORTFOLIO™

The following investments are designed for long-term holds in an uptrending market. We always hold a core position in

each company in the portfolio until the key factors that caused us to buy the stock (see the free report, “The 5 Keys To

Successful Investing”) no longer obtain. During bear market signals from the MDI, we reduce our size in these stocks and

put the cash, along with any uninvested cash, into the IXTHYS Safe Haven Portfolio™.

Changes since the last update: LUV from Buy to Hold; TSO from Buy to Hold; BBY from Hold to Buy; CYBR from Hold to

Buy. Note: with the MDI signalling a down market, any new positions should be at 50% position size only.

Last update: 10/31/2015

THE IXTHYS PORTFOLIO

Symbol Company Entry Date

Entry Price

Current Price

Div'd ROI Industry Type of Position

B-S-H

LUV Southwest Airlines 24-Oct-

12 8.81 46.18 0.25 427.0%

regional airlines

growth-value

Hold

TSO Tesoro Corporation 7-Feb-

14 47.92 118.15 2.45 151.7% oil refining value Hold

BBY Best Buy 10-Feb-

14 24.51 31.54 1.92 36.5%

electronics retail

value Buy

SCS Steelcase 16-Oct-

14 15.42 19.92 0.54 32.7% office furniture value Buy

CYBR CyberArk Software 11-Feb-

15 41.94 42.42 0.00 1.1% cyber security growth Buy

MBLY Mobileye 1-Apr-

15 41.98 43.88 0.00 4.5% driverless tech

IPO - growth

Buy

TSLA Tesla Motors 7-Apr-

15 202.51 218.64 0.00 8.0% electric cars growth Buy

EFOI Energy Focus 17-Jun-

15 7.25 16.06 0.00 121.5%

low-energy lighting

IPO - growth

Buy

GLOB Globant 1-Oct-

15 30.76 36.24 0.00 17.8% IT services growth Buy

NICE NICE Systems 2-Nov-

15 62.40 64.11 0.16 3.0%

data management

growth Buy

AVT Avnet, Inc. 19-Nov-

15 45.61 45.28 0.00 -0.7%

electronics wholesale

value Buy

Current MDI Signal % Cash Sources of Cash Directions for Cash

DOWN MARKET 67% of total

Portfolio 50% in 12 core positions

and 6 uninvested positions Put all cash into the IXTHYS Safe

Haven Portfolio™

THE IXTHYS SAFE HAVEN PORTOLIO™

The MDI has signalled a DOWN MARKET as of 9/21/15. We therefore recommend putting all free cash into The

IXTHYS Safe Haven Portfolio™. The Safe Haven Portfolio is desiged to reduce portfolio drawdowns and profit

from market downturn. Note that The Safe Haven Portfolio will collect dividends over time.

To use The IXTHYS Safe Haven Portfolio™, it is recommended that you divide your cash into 8 equal lots and

purchase the following symbols with equal amounts in each.

From 9/21/20015 to 10/31/2015 (last update)

THE IXTHYS SAFE HAVEN PORTFOLIO

Symbol Company Entry Date

Entry Price

Current Price

Div'd ROI Industry Type of Position

B-S-H

TLT 20+ Year Treasury

Bonds 22-Sep-

15 121.44 120.94 0.53 0.0% Bonds Safe Haven Buy

ZROZ 25+ Year Zero Coupon Bonds

22-Sep-15

111.42 110.57 0.73 -0.1% Bonds Safe Haven Buy

IEF 7 - 10 Year Treasury

Bonds 22-Sep-

15 106.80 106.19 0.32 -0.3% Bonds Safe Haven Buy

GLD SPDR Gold Shares 22-Sep-

15 108.49 102.88 0.00 -5.2% Commodities Hedge Buy

FXY Japenese Yen

Currency 22-Sep-

15 80.57 79.16 0.00 -1.8%

Foreign Currency

Safe Haven Buy

XLU Utilitiy Stocks ETF 22-Sep-

15 42.21 42.90 0.00 1.6% Utilities Safe Haven Buy

KXI Consumer Staples

Stocks ETF 22-Sep-

15 88.10 93.85 0.00 6.5%

Consumer Staples

Safe Haven Buy

RWM Short Russell 2000 22-Sep-

15 62.37 59.67 0.00 -4.3%

Bear Russell 2000

Hedge Buy

IXTHYS NEW HIGHLIGHTED INVESTMENTS

The following companies are brought to you as suggested new entries in The IXTHYS Portfolio™. All

information presented here is for informational purposes only. Please do your own due diligence before

investing. NOTE: with the MDI signalling a DOWN MARKET, we recommend buying only a 50% position at

this time.

STOCK OF THE MONTH: Avnet, Inc. (Nasdaq: AVT)

Industry: Electronic Components

Market Cap: $6.0B

Dividend: 1.5%

Position Type: Value

Business Profile: Avnet, Inc., was founded in 1955 in Phoenix, AZ. Avnet distributes electronic components, computer

and storage products, IT solutions and services, and embedded subsystems in the Americas, Europe, the Middle East,

Africa, and the Asia/Pacific. It operates through two segments, Electronics Marketing (EM) and Technology Solutions

(TS). The EM segment markets and sells semiconductors; interconnect, passive, and electromechanical devices; and

embedded products for the electronic component manufacturers, as well as offers an array of value-added services that

enable customers to evaluate and procure electronic components throughout the lifecycle of their technology products.

The TS segment distributes enterprise computing servers and systems, software, storage, services, and complex solutions;

and provides hard disk drives, microprocessors, motherboards, and DRAM module technologies to manufacturers of

general-purpose computers. It also works with business partners to create and deliver data center and IT lifecycle

solutions that solve the business challenges of end-user customers, as well as offers education, tools, resources, skill, and

support solutions.

Analysis: Avnet began back in 1921 selling radio parts in Manhattan. Today it is a major electronics supplier to

thousands of customers around the world. It has military, industrial and retail contracts and is well diversified. The

company has weathered many recessions well, and is currently growing its overseas footprint. Shares are undervalued, it

is ranked a buy/strong buy by all the analysts, has little debt, a low P/E and forward P/E, a P/S of only 0.2, and pays out

1.5%. Shares are currently trading just under new all-time highs following 2 years of bullish consolidation. What I

especially like is that Avnet is winning awards not only for its products but also for its corporate culture. The company

takes pride in its core values (integrity, customer service, accountability, teamwork, innovation) and trumpets them

prominently. Forbes recently named Avnet to its "World's Most Admired Companies" list for the 9th year in a row! While

not the most exciting hold, this is a great addition to our long-term holds.

IXTHYS WATCH LIST

The following companies are brought to you as part of our ongoing research process. These are companies that

have passed most or all of our financial and ethical filtering process but for various reasons are not yet ready

for long-term investments. They remain “stocks of interest.”

THE IXTHYS PLAN FOR PERSONAL FINANCES™

The IXTHYS Plan for Personal Finances™ is a system developed by Dr. Thomas Carr. It is based on a passage

from one of the Apostle Paul’s letters (2 Corinthians 9:6-11). The IXTHYS Plan is summarized by the three boxes

below. Whereas most personal finance plans teach you to live small, cut back, save, and hope for the best, Dr.

Carr’s system teaches the 7 essential skills needed to increase your income, multiply that increase, and invest it

strategically in order to build life-changing, long-lasting wealth.

In future issues of The IXTHYS Letter, you will learn more about this system and how God wants to partner with

you as your steward your finances toward the fulfillment of the dreams He has placed in your heart!

The IXTHYS Plan video: CLICK HERE

IXTHYS FINANCIAL WISDOM

In this final section of The IXTHYS Letter, we bring you nuggets of financial wisdom from some of the world’s

greatest thinkers, both past and present.

Dave Ramsey is a pioneer in the Christian financial planning industry. From his own experiences with making,

then losing, a lot of money, Dave built a personal finance system based on biblical wisdom. While my own plan

disagrees with Dave’s plan on certain points, I think his overall strategy is a great place to start. The following

insight is taken from the website, www.bible.com/dave-ramsey-proverbs.

Going bankrupt was a wake-up call for me. I had enjoyed a lot of nice stuff, but I lost it all because of my lack of

discipline. So when I was forced to start over from scratch, I decided to do things differently the second time around.

One thing I decided to do was to learn the habits of wealthy people. I figured that if I wanted to be wealthy, it only

made sense to learn (and do) what wealthy people do. Over the past couple of decades, I've spent time with

millionaires and billionaires. I've picked their brains and tried to understand how they built and maintained wealth.

What I've found is that the principle behind Proverbs 21:20 really does work in real life. Wise people do have

enough when they need it because they plan for emergencies. But fools really do spend all they have - and more -

as soon as they get it.

For example, I've found that many wealthy people don't live like wealthy people. Instead of flaunting their money,

they adopt upper-middle-class lifestyles. Some even live lower-middle-class lifestyles - and they don't suffer from it a

bit! They just keep doing what got them there in the first place. One of the most basic things they do is save. Instead

of chasing a lot of extravagant toys, they continue putting money aside. They keep using the power of

compound interest to build wealth. They always think about creating security for the future.

In contrast, many people are like I was before I went bankrupt in my 20s. They don't have the discipline to do even

the simple things like saving money. Instead of becoming wealthy by doing what wealthy people do, they stay broke

by doing what broke people do!

On the budget forms my company provides, the first line item is "Giving" because we want you to honor God first.

But the second line item is "Saving" because we want you to pay yourself before you pay anyone else.

Wise people save money. It's a basic, crystal-clear biblical principle. And if you spend every dime that passes

through your fingers, then guess what? You're a fool! Don't blame me - God said it!