Growth-Trend Timing Tactical Asset Allocation Strategy

Dual-signal regime strategy using HYG/IEF ratio as a growth proxy and SPY 200-day SMA as a trend filter. Both bullish holds 100% equities; one bullish gives 50/50; neither holds 100% bonds. Monthly rebalancing.

Backtest Performance (1992-11-30 to 2026-04-07)

MetricGrowth-Trend Timing
Compound Annual Growth Rate (CAGR)12.0%
Maximum Drawdown-32.6%
Sharpe Ratio0.91
Sortino Ratio1.22
Annualized Volatility13.5%
Calmar Ratio0.37
Total Return4283.5%
Backtest Period33.3 years

Strategy Details

Type
Tactical (TAA)
Rebalancing
monthly
Risk Level
moderate
Variants
1
Author
Philosophical Economics

Categories

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