MarketHeist Portfolio · Strategy

Adaptive Asset Allocation

by Butler, Philbrick & Gordillo

Adaptive Asset Allocation layers two adaptive signals: momentum decides WHAT to own (rotate toward the assets currently trending up) and risk decides HOW MUCH (weight the survivors by inverse volatility so a calm bond and a wild equity contribute comparable risk). Combining the two historically kept returns competitive while cutting the depth and length of drawdowns versus static allocations.

Based on

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