Vanguard Base (Sadek)
TacticalProBased on research by Bill Sadek · Contributed by Bill Sadek (2026-04). Inspired by Bill's earlier published articles on Vanguard-based TAA. Implementation is preliminary pending Bill's full rules.
This is BestFolio's independent implementation. Not affiliated with or endorsed by the original author.
About this Strategy
Monthly rotation across a 10-ETF Vanguard core universe (VOO, VTI, VUG, VTV, VB, VXUS, BND, VGLT, VGSH, VNQ) — the ETF equivalents of classic Vanguard index mutual funds. Ranks by 6-month momentum, holds top 4 with positive momentum, weights by momentum share with a 35% per-asset cap.
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: VOO, VTI, VUG, VTV, VB, VXUS, BND, VGLT, VGSH, VNQ
- 2Each month, compute 6-month total return for each asset
- 3Drop assets with non-positive momentum
- 4Select the top 4 remaining by momentum
- 5Weight selected assets by momentum share
- 6Cap any asset at 35%; redistribute excess proportionally
- 7Prune allocations below 3%, renormalise
- 8If no asset qualifies → 100% BND
Asset Universe
Pro subscribers only
10 instruments this strategy can hold
Key Differentiators
Research Source
Based on research by Bill Sadek
Contributed by Bill Sadek (2026-04). Inspired by Bill's earlier published articles on Vanguard-based TAA. Implementation is preliminary pending Bill's full rules.
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
- 10 Vanguard ETFs (equity + bonds + REIT)
- Momentum Scoring
- 6-month total return
- Selection
- Top 4 by momentum
- Weighting
- Momentum-proportional (weight_i = mom_i / sum(mom))
- Max Weight
- 35% cap per asset with redistribution
- Cash Trigger
- No positive momentum → 100% BND (Total Bond)
- Data Source
- Yahoo Finance (13 months minimum history)
Asset Classes
Vanguard Base (Sadek) — Tactical Asset Allocation Strategy
Bill Sadek's Vanguard Base (VB) strategy is a monthly TAA rotation across a 10-ETF Vanguard core universe — the ETF equivalents of classic Vanguard index mutual funds (500 Index, Total Stock Market, Growth, Value, Small-Cap, Total International, Total Bond, Long-Term Treasury, Short-Term Treasury, and REIT).
Each month, assets are ranked by 6-month total return. The strategy holds the top 4 assets with positive momentum, weighting them by momentum share (higher-momentum assets get larger weights) with a 35% per-asset cap to prevent single-asset concentration. If no asset has positive momentum, the strategy moves to 100% BND (Total Bond Market).
Strategy Details
- Type
- Tactical (TAA)
- Rebalancing
- monthly
- Variants
- 2
- Author
- Bill Sadek
- Source
- Contributed by Bill Sadek (2026-04). Inspired by Bill's earlier published articles on Vanguard-based TAA. Implementation is preliminary pending Bill's full rules.
Asset Classes
- US Large Cap (Blend / Growth / Value)
- US Small Cap
- International Equity
- US Core Bonds
- Long-Term Treasuries
- Short-Term Treasuries
- US REITs
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