Cash Trigger (Carter) at a glance
Cash Trigger (Carter) is a tactical asset allocation (TAA) strategy by David Alan Carter across US Equity, Long Treasuries, High Yield Bonds, Municipal Bonds, rebalanced monthly. Backtested 1992-10-30 to 2026-04-24 (33.4 years): 11.9% CAGR, 0.87 Sharpe, -26.3% max drawdown, 14.1% volatility.
- Type
- Tactical (TAA)
- Author
- David Alan Carter
- Rebalancing
- Monthly
- Risk
- Moderate
- Period
- 1992-10-30 to 2026-04-24
- CAGR
- 11.9%
- Sharpe
- 0.87
- Max Drawdown
- -26.3%
- Volatility
- 14.1%
Cash Trigger (Carter) — Tactical Asset Allocation Strategy
David Alan Carter's Cash Trigger uses SPY's 200-day SMA as a binary regime filter. Above → 100% SPY. Below → best bond ETF by 3-month return from TLT, JNK, MUB, SHY.
Backtest Performance (1992-10-30 to 2026-04-24)
| Metric | Cash Trigger (Carter) |
|---|---|
| Compound Annual Growth Rate (CAGR) | 11.9% |
| Maximum Drawdown | -26.3% |
| Sharpe Ratio | 0.87 |
| Sortino Ratio | 1.11 |
| Annualized Volatility | 14.1% |
| Calmar Ratio | 0.45 |
| Total Return | 4191.5% |
| Backtest Period | 33.4 years |
Strategy Details
- Type
- Tactical (TAA)
- Rebalancing
- monthly
- Risk Level
- moderate
- Variants
- 1
- Author
- David Alan Carter
- Source
- Carter, D.A. The Stock Market Cash Trigger
Asset Classes
- US Equity
- Long Treasuries
- High Yield Bonds
- Municipal Bonds
- Short-Term Treasuries
Categories
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