Dynamic Macro Allocation (BestFolio)
TacticalProBased on research by Bill Sadek (BestFolio adaptation) · Contributed by Bill Sadek (2026-04). Adapted from Logical Invest's Enhanced Permanent Portfolio. Based on Harry Browne's Permanent Portfolio concept (1980s).
This is BestFolio's independent implementation. Not affiliated with or endorsed by the original author.
About this Strategy
BestFolio's interpretation of Bill Sadek's Dynamic Macro Allocation. 7-ETF macro universe (MGK, PDBC, GLDM, BOND, VGLT, MINT, VCSH).
The complete strategy logic, asset universe, and rebalancing rules are available to Pro subscribers. This includes the full methodology description, author notes, and implementation details.
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Strategy Rules
Pro subscribers only
- 1Universe: MGK, PDBC, GLDM, BOND, VGLT, MINT, VCSH
- 2Compute 6-month total return for each asset
- 3Drop assets with non-positive momentum
- 4Raw weight = momentum_i / sum(all positive momentums)
- 5Cap any asset at 40%; redistribute excess proportionally (iterate)
- 6Prune allocations below 3%, renormalise
- 7If no asset qualifies → 100% MINT
Asset Universe
Pro subscribers only
7 instruments this strategy can hold
Key Differentiators
Research Source
Based on research by Bill Sadek (BestFolio adaptation)
Contributed by Bill Sadek (2026-04). Adapted from Logical Invest's Enhanced Permanent Portfolio. Based on Harry Browne's Permanent Portfolio concept (1980s).
Strategy Info
- Type
- Tactical (TAA)
- Frequency
- monthly
- Next Rebalance
- May 109:30 ET (20d)
- Variants
- 2
- Type
- Tactical Asset Allocation (TAA)
- Trading Frequency
- Monthly (last trading day)
- Rebalancing
- Full portfolio rebalance each month
- Universe Size
- 7 ETFs across equity, commodities, gold, bonds
- Momentum Scoring
- 6-month total return
- Weighting
- Momentum-proportional (weight_i = mom_i / sum(mom))
- Max Weight
- 40% cap per asset, excess redistributed proportionally
- Cash Trigger
- No asset with positive momentum → 100% MINT (cash proxy)
- Concentration
- Dynamic — typically 2–5 assets
- Data Source
- Yahoo Finance (13 months minimum history)
Asset Classes
Dynamic Macro Allocation (BestFolio) — Tactical Asset Allocation Strategy
Bill Sadek's Dynamic Macro Allocation evolved from Harry Browne's Permanent Portfolio (1980s) and Logical Invest's free Enhanced Permanent Portfolio strategy. It replaces the static all-weather approach with a rules-based, dynamic allocator that ranks asset classes by relative strength and concentrates capital in the current leaders while avoiding laggards.
Each month, the 7-ETF macro universe (mega-cap growth, commodities, gold, and four bond sleeves) is scored by 6-month total return. Assets with non-positive momentum are dropped. Survivors are weighted proportionally to their momentum scores, with a 40% maximum per asset (excess is redistributed), producing a dynamic allocation that shifts materially month to month (e.g. Bill's PDBC allocation went from 66% to 33% in a single month when commodity leadership faded).
Strategy Details
- Type
- Tactical (TAA)
- Rebalancing
- monthly
- Variants
- 2
- Author
- Bill Sadek (BestFolio adaptation)
- Source
- Contributed by Bill Sadek (2026-04). Adapted from Logical Invest's Enhanced Permanent Portfolio. Based on Harry Browne's Permanent Portfolio concept (1980s).
Asset Classes
- US Mega-Cap Growth
- Diversified Commodities
- Gold
- US Core Bonds
- Long-Term Treasuries
- Ultra-Short Bonds
- Short-Term Corporates
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