Tactical Permanent Portfolio
TacticalProconservativeBased on research by Adam Butler (ReSolve) · Butler, A. (ReSolve Asset Management). Tactical Permanent Portfolio
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Launched Aug 27, 2012About this Strategy
Tactical overlay on the classic 25/25/25/25 Permanent Portfolio. Assets with negative 12-month returns are replaced by cash, adding momentum-based protection while preserving the core all-weather structure.
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.
Pro subscribers also get access to current signals, full backtest history, and the ability to blend this strategy into custom portfolios.
Strategy Rules
Pro subscribers only
- 1Start with 25% SPY, 25% TLT, 25% GLD, 25% BIL
- 2Compute 12-month total return for SPY, TLT, and GLD
- 3BIL always keeps its 25% allocation
- 4For each risky asset: if 12m return > 0 → hold at 25%; if < 0 → shift to BIL
Key Differentiators
Research Source
Based on research by Adam Butler (ReSolve)
Butler, A. (ReSolve Asset Management). Tactical Permanent Portfolio
Strategy Info
- Type
- Tactical (TAA)
- Frequency
- monthly
- Next Rebalance
- Jun 109:30 ET (10d)
- Variants
- 1
- Risk Category
- conservative
- Tags
- all-weather
- Type
- Tactical Asset Allocation (TAA)
- Trading Frequency
- Monthly (last trading day)
- Base Allocation
- Permanent Portfolio: 25% SPY, 25% TLT, 25% GLD, 25% BIL
- Momentum Filter
- 12-month absolute momentum per risky asset
- Cash Trigger
- Negative 12m return → that 25% slice shifts to BIL
- Universe Size
- 4 assets (3 risky + 1 cash, always held)
- Data Source
- Institutional-grade market data (13 months minimum history)
Asset Classes
Tactical Permanent Portfolio at a glance
Tactical Permanent Portfolio is a tactical asset allocation (TAA) strategy by Adam Butler (ReSolve) across US Equity, Long-Term Treasuries, Gold, Cash (T-Bills), rebalanced monthly. Backtested 1961-02-28 to 2026-05-20 (65.2 years): 7.9% CAGR, 1.69 Sharpe, -10.5% max drawdown, 4.5% volatility.
- Type
- Tactical (TAA)
- Author
- Adam Butler (ReSolve)
- Rebalancing
- Monthly
- Risk
- Conservative
- Period
- 1961-02-28 to 2026-05-20
- CAGR
- 7.9%
- Sharpe
- 1.69
- Max Drawdown
- -10.5%
- Volatility
- 4.5%
Tactical Permanent Portfolio — Tactical Asset Allocation Strategy
Adam Butler's Tactical Permanent Portfolio adds a momentum overlay to Harry Browne's classic Permanent Portfolio. The base allocation is 25% each in SPY, TLT, GLD, and BIL. The tactical layer checks each risky asset's 12-month return — if negative, that 25% slice shifts to BIL. In the worst case, the portfolio becomes 100% BIL.
Backtest Performance (1961-02-28 to 2026-05-20)
| Metric | Tactical Permanent Portfolio |
|---|---|
| Compound Annual Growth Rate (CAGR) | 7.9% |
| Maximum Drawdown | -10.5% |
| Sharpe Ratio | 1.69 |
| Sortino Ratio | 1.90 |
| Annualized Volatility | 4.5% |
| Calmar Ratio | 0.75 |
| Total Return | 13807.0% |
| Backtest Period | 65.2 years |
Strategy Details
- Type
- Tactical (TAA)
- Rebalancing
- monthly
- Risk Level
- conservative
- Variants
- 1
- Author
- Adam Butler (ReSolve)
- Source
- Butler, A. (ReSolve Asset Management). Tactical Permanent Portfolio
Asset Classes
- US Equity
- Long-Term Treasuries
- Gold
- Cash (T-Bills)
Categories
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