White Knuckle (Carter) at a glance

White Knuckle (Carter) is a tactical asset allocation (TAA) strategy by David Alan Carter across Leveraged US Equity, Leveraged Nasdaq, Leveraged Long Treasuries, Currency Hedges, rebalanced monthly. Backtested 2019-09-30 to 2026-04-24 (6.5 years): 14.6% CAGR, 0.55 Sharpe, -46.3% max drawdown, 38.1% volatility.

Type
Tactical (TAA)
Author
David Alan Carter
Rebalancing
Monthly
Risk
Moderate
Period
2019-09-30 to 2026-04-24
CAGR
14.6%
Sharpe
0.55
Max Drawdown
-46.3%
Volatility
38.1%

White Knuckle (Carter) Tactical Asset Allocation Strategy

Carter's White Knuckle strategy splits 50/50: a core sleeve (inverse-vol weighted among SPXL, TQQQ, TMF) and a rotation sleeve (best 3-month return from 8 candidates including hedge assets like EUO, IVOL, UUP).

Backtest Performance (2019-09-30 to 2026-04-24)

MetricWhite Knuckle (Carter)
Compound Annual Growth Rate (CAGR)14.6%
Maximum Drawdown-46.3%
Sharpe Ratio0.55
Sortino Ratio0.70
Annualized Volatility38.1%
Calmar Ratio0.31
Total Return142.9%
Backtest Period6.5 years

Strategy Details

Type
Tactical (TAA)
Rebalancing
monthly
Risk Level
moderate
Variants
1
Author
David Alan Carter
Source
Carter, D.A. White Knuckle

Asset Classes

  • Leveraged US Equity
  • Leveraged Nasdaq
  • Leveraged Long Treasuries
  • Currency Hedges
  • Volatility

Categories

Track White Knuckle (Carter) in Your Portfolio

Sign up for BestFolio to get monthly rebalancing signals, blend strategies into custom portfolios, and receive alerts when allocations change.