What is RP3 Trend-Tilted Core?

Three-asset inverse-vol risk-parity core (SPY / TLT / GLD), each asset independently tilted by its own trend: uptrend full weight, neutral half, downtrend to cash. A long-only retail substitute for a futures trend program. Built as long-history all-weather / regime insurance: the per-asset tilt roughly thirds the drawdown versus a static core over 1972+, with the edge concentrated in trending, divergent regimes rather than the calm modern era. Monthly rebalance.

Who created the RP3 Trend-Tilted Core strategy?

RP3 Trend-Tilted Core was developed by Beyond Passive (adapted). It is based on Beyond Passive, Trend Following (4/4): the poor man's trend program (2026)..

What is the historical return and maximum drawdown of RP3 Trend-Tilted Core?

Backtested from 1973-03-30 to 2026-07-03, RP3 Trend-Tilted Core returned 8.3% CAGR with a -12.4% maximum drawdown and a Sharpe ratio of 1.17. Past performance does not guarantee future results.

How often is RP3 Trend-Tilted Core rebalanced?

RP3 Trend-Tilted Core is rebalanced monthly. BestFolio publishes the updated allocation signal each period.

Is RP3 Trend-Tilted Core a tactical asset allocation strategy?

Yes. RP3 Trend-Tilted Core is a tactical asset allocation (TAA) strategy: it adjusts its holdings based on market signals each period rather than holding a fixed allocation.

RP3 Trend-Tilted Core Strategy by Beyond Passive (adapted)

Name: RP3 Trend-Tilted Core, Backtest Time Series
Creator: BestFolio
License: https://creativecommons.org/licenses/by-nc/4.0/

RP3 Trend-Tilted Core at a glance

RP3 Trend-Tilted Core is a tactical asset allocation (TAA) strategy by Beyond Passive (adapted) across US Equity, Long Treasuries, Gold, Cash, rebalanced monthly. Backtested 1973-03-30 to 2026-07-03 (53.3 years): 8.3% CAGR, 1.17 Sharpe, -12.4% max drawdown, 5.1% volatility.

Type: Tactical (TAA)
Author: Beyond Passive (adapted)
Rebalancing: Monthly
Risk: Conservative
Period: 1973-03-30 to 2026-07-03
CAGR: 8.3%
Sharpe: 1.17
Max Drawdown: -12.4%
Volatility: 5.1%

RP3 Trend-Tilted Core — Tactical Asset Allocation Strategy

RP3 Trend-Tilted Core keeps a three-asset inverse-volatility risk-parity core (US equity SPY, long Treasuries TLT, gold GLD) and tilts each asset independently by its own trend: an uptrend holds the full risk-parity weight, a neutral trend holds half, and a downtrend drops to cash. It is a long-only, retail substitute for a futures trend-following program, because tilting each asset independently sidesteps the asset-specific drawdowns (such as a decade-long bond bear) that a single market-wide on/off gate misses.

What drives the edge: over proxy history to 1972, the per-asset tilt lifts the core from Sharpe ~0.95 / -37% max drawdown to Sharpe ~1.5 / about -12%, and the result is robust to the exact trend signal used (it is not an over-fit to one definition). Honest caveat: that edge is concentrated in trending, divergent regimes (the 1970s-80s stagflation and bond bear); in the calm modern ETF era the tilt does not beat a static vol-targeted core on Sharpe and instead trades return for shallower drawdowns. Hold it as long-history all-weather / regime insurance, not a modern-era return booster.

RP3 Trend-Tilted Core: frequently asked questions

What is RP3 Trend-Tilted Core?: Three-asset inverse-vol risk-parity core (SPY / TLT / GLD), each asset independently tilted by its own trend: uptrend full weight, neutral half, downtrend to cash. A long-only retail substitute for a futures trend program. Built as long-history all-weather / regime insurance: the per-asset tilt roughly thirds the drawdown versus a static core over 1972+, with the edge concentrated in trending, divergent regimes rather than the calm modern era. Monthly rebalance.
Who created the RP3 Trend-Tilted Core strategy?: RP3 Trend-Tilted Core was developed by Beyond Passive (adapted). It is based on Beyond Passive, Trend Following (4/4): the poor man's trend program (2026)..
What is the historical return and maximum drawdown of RP3 Trend-Tilted Core?: Backtested from 1973-03-30 to 2026-07-03, RP3 Trend-Tilted Core returned 8.3% CAGR with a -12.4% maximum drawdown and a Sharpe ratio of 1.17. Past performance does not guarantee future results.
How often is RP3 Trend-Tilted Core rebalanced?: RP3 Trend-Tilted Core is rebalanced monthly. BestFolio publishes the updated allocation signal each period.
Is RP3 Trend-Tilted Core a tactical asset allocation strategy?: Yes. RP3 Trend-Tilted Core is a tactical asset allocation (TAA) strategy: it adjusts its holdings based on market signals each period rather than holding a fixed allocation.

Backtest Performance (1973-03-30 to 2026-07-03)

Metric	RP3 Trend-Tilted Core
Compound Annual Growth Rate (CAGR)	8.3%
Maximum Drawdown	-12.4%
Sharpe Ratio	1.17
Sortino Ratio	1.96
Annualized Volatility	5.1%
Calmar Ratio	0.67
Total Return	7072.9%
Backtest Period	53.3 years

Strategy Details

Type: Tactical (TAA)
Rebalancing: monthly
Risk Level: conservative
Variants: 2
Author: Beyond Passive (adapted)
Source: Beyond Passive, Trend Following (4/4): the poor man's trend program (2026).

Asset Classes

US Equity
Long Treasuries
Gold
Cash

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