Strategy & Portfolio Updates as of 2024-08-30
We're in the final stages of developing a new set of investment strategies, and we'll have much more to share in the coming weeks. For now, let's discuss the design philosophy behind our V1 strategies, which is built on three key components.
At the core of our approach is a carefully selected set of assets. We've chosen a diverse range of minimally correlated assets that cover the majority of the economy: stocks, currencies, bonds, gold, commodities, and cryptocurrencies. This diversification is intended to ensure that there's always a potentially profitable investment option available, regardless of market conditions.
The second component consists of our asset selection algorithms. These are designed to determine which specific assets to invest in at any given time. We've developed these algorithms to be effective over long periods, resulting in a strategy that doesn't require frequent trading.
The third and most significant component is our risk on/off switch. This mechanism is responsible for the majority of our returns, as it determines when to increase or decrease our overall market exposure. It's the key to adapting our strategy to changing market conditions.
As it stands, we're pleased with the performance of our core asset selection and asset selection algorithms, which are functioning as intended. However, we still need more time to properly evaluate the effectiveness of the risk on/off switch. This critical component requires further testing and analysis to ensure it's delivering the results we expect.
We are eager to share and test V2 in the coming weeks, and we look forward to testing how these enhancements will further optimize the trading strategies.
Overview & Performance Since March, 2024
| Low | Medium | High | S&P 500 | Nasdaq 100 | |
|---|---|---|---|---|---|
| Cumulative Returns | 4.28% | 1.94% | 0.25% | 10.83% | 8.48% |
| MTD Returns | 0.40% | 0.40% | 0.40% | 2.28% | 1.19% |
| Sharpe | 1.18 | 0.51 | 0.10 | 1.65 | 0.97 |
| Volatility | 7.25% | 8.18% | 9.80% | 12.88% | 18.50% |
| WTD Returns | 0.17% | 0.17% | 0.17% | 0.24% | -0.74% |
| 1D Returns | -0.12% | -0.12% | -0.12% | 1.01% | 1.29% |
| Yield | 3.78% | 3.78% | 3.78% | 1.21% | 0.61% |
Low Vol Strategy
| Weight | Yield | Alternative Symbols | |
|---|---|---|---|
| BIL | 53.00% | 5.23% | ['BOXX'] |
| BTCUSD | 0.00% | 0.00% | ['IBIT', 'GBTC', 'FBTC'] |
| DBA | 23.75% | 4.25% | ['PDBA'] |
| GLD | 23.25% | 0.00% | ['IAU'] |
| TECL | 0.00% | 0.34% | ['TQQQ'] |
| TLT | 0.00% | 3.72% | ['VGLT', 'EDV'] |
| UUP | 0.00% | 7.05% | ['USD', 'DXY'] |
| XLK | 0.00% | 0.69% | ['QQQ'] |
Medium Vol Strategy
| Weight | Yield | Alternative Symbols | |
|---|---|---|---|
| BIL | 53.00% | 5.23% | ['BOXX'] |
| BTCUSD | 0.00% | 0.00% | ['IBIT', 'GBTC', 'FBTC'] |
| DBA | 23.75% | 4.25% | ['PDBA'] |
| GLD | 23.25% | 0.00% | ['IAU'] |
| TECL | 0.00% | 0.34% | ['TQQQ'] |
| TLT | 0.00% | 3.72% | ['VGLT', 'EDV'] |
| UUP | 0.00% | 7.05% | ['USD', 'DXY'] |
| XLK | 0.00% | 0.69% | ['QQQ'] |
High Vol Strategy
| Weight | Yield | Alternative Symbols | |
|---|---|---|---|
| BIL | 53.00% | 5.23% | ['BOXX'] |
| BTCUSD | 0.00% | 0.00% | ['IBIT', 'GBTC', 'FBTC'] |
| DBA | 23.75% | 4.25% | ['PDBA'] |
| GLD | 23.25% | 0.00% | ['IAU'] |
| TECL | 0.00% | 0.34% | ['TQQQ'] |
| TLT | 0.00% | 3.72% | ['VGLT', 'EDV'] |
| UUP | 0.00% | 7.05% | ['USD', 'DXY'] |
| XLK | 0.00% | 0.69% | ['QQQ'] |
Disclaimer:
The above is intended for research purposes only and is not trading or financial advice