Looking at their website they seem to be doing something very similar to Jeff Augen's work. Selling flys in the weekly option series assuming that price will move away (people word it in different ways but I am referring to being long the body of the fly). I think it has some merit, I ran a similar strategy on AAPL that was overall successful. The returns are based on what you invest and since you have the chance of losing more than you can make I doubt you are going to put more than risk capital to work. So 1600% return sounds good until you realize it will be on only a small portion of your capital. The price seems steep, I would look at Augen's book first I believe he has some videos out there talking about stocks decoupling from strikes and how to profit. The drawbacks of this strategy are the bid ask spread (remember you are trading multi legs on weekly options) and once you get in it can sometimes get tricky to get out. The other drawback is that you are burning through theta (essentially you are buying a straddle and financing some of it by selling the wings) so if the stock sits you will lose.
