Vol-Target 2x QQQ
Vol-Target 2x QQQ is a tactical asset allocation strategy reviewed on a daily cadence. Its hypothetical backtest runs through 2026-07-31. BestFolio supplies the public rule or approach and backtest context; current signals, allocations, and paid interactive data remain restricted to Pro access. No publication or construction date is recorded, so no observed-versus-simulated boundary is claimed; all displayed returns are hypothetical. Users review each scheduled signal and place any resulting trades in their own brokerage. BestFolio does not execute trades or provide personalized investment advice.
- Cadence
- Daily
- Backtest data through
- 2026-07-31
- History boundary
- No publication or construction date is recorded, so no observed-versus-simulated boundary is claimed; all displayed returns are hypothetical.
- Rule / approach
- Holds 2x Nasdaq-100 (QLD) only while the Nasdaq is above its 200-day moving average (3-day confirmed), sized to a target volatility reassessed monthly, otherwise T-bills (BIL).
- BestFolio supplies
- the public rule or approach and backtest context; current signals, allocations, and paid interactive data remain restricted to Pro access
- Customer action
- Review each scheduled signal and place any required trades in your own brokerage; BestFolio does not execute orders.
- Costs and exclusions
- net of a modeled one-way transaction cost (10 bps, scaled up to 3x under stress); taxes, fund-expense drift, or market impact are not modeled
- Freshness
- The latest available backtest ends 2026-07-31. A run timestamp is not exposed here, so no stronger freshness claim is made.
- Next expected action
- Next trading day (Monday); scheduled 2026-08-03 at 09:30 ET. Review the published signal before placing any trade.
Vol-Target 2x QQQ at a glance
Vol-Target 2x QQQ is a tactical asset allocation (TAA) strategy by BestFolio, rebalanced daily. Backtested 1999-10-22 to 2026-07-31 (26.7 years): 9.8% CAGR, 0.75 Sharpe, -28.5% max drawdown, 15.3% volatility.
- Type
- Tactical (TAA)
- Author
- BestFolio
- Rebalancing
- Daily
- Risk
- Aggressive
- Period
- 1999-10-22 to 2026-07-31
- CAGR
- 9.8%
- Sharpe
- 0.75
- Max Drawdown
- -28.5%
- Volatility
- 15.3%
Vol-Target 2x QQQ — Tactical Asset Allocation Strategy
Holds 2x Nasdaq-100 (QLD) only while the Nasdaq is above its 200-day moving average (3-day confirmed), sized to a target volatility reassessed monthly, otherwise T-bills (BIL). A continuous-risk-control take on leveraged Nasdaq: it captures most of the upside while the trend gate sidesteps the catastrophic leveraged drawdowns (raw 2x QQQ buy-and-hold lost about 99% in the dot-com crash).
Vol-Target 2x QQQ: frequently asked questions
- What is Vol-Target 2x QQQ?
- Holds 2x Nasdaq-100 (QLD) only while the Nasdaq is above its 200-day moving average (3-day confirmed), sized to a target volatility reassessed monthly, otherwise T-bills (BIL). A continuous-risk-control take on leveraged Nasdaq: it captures most of the upside while the trend gate sidesteps the catastrophic leveraged drawdowns (raw 2x QQQ buy-and-hold lost about 99% in the dot-com crash).
- Who created the Vol-Target 2x QQQ strategy?
- Vol-Target 2x QQQ was developed by BestFolio.
- What is the historical return and maximum drawdown of Vol-Target 2x QQQ?
- Backtested from 1999-10-22 to 2026-07-31, Vol-Target 2x QQQ returned 9.8% CAGR with a -28.5% maximum drawdown and a Sharpe ratio of 0.75. Past performance does not guarantee future results.
- How often is Vol-Target 2x QQQ rebalanced?
- Vol-Target 2x QQQ is rebalanced daily. BestFolio publishes the updated allocation signal each period.
- Is Vol-Target 2x QQQ a tactical asset allocation strategy?
- Yes. Vol-Target 2x QQQ 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 (1999-10-22 to 2026-07-31)
| Metric | Vol-Target 2x QQQ |
|---|---|
| CAGR | 9.8% |
| Max Drawdown | -28.5% |
| Sharpe | 0.75 |
| Sortino | 1.01 |
| Volatility | 15.3% |
| Calmar | 0.34 |
| Total Return | 1124.8% |
| Backtest Period | 26.7 years |
Strategy Details
- Type
- Tactical (TAA)
- Rebalancing
- daily
- Risk Level
- aggressive
- Variants
- 4
- Author
- BestFolio
Further reading
New to this approach? Read what tactical asset allocation is and how it works.
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