LT Gains 3X
This strategy is actually [single] momentum, not dual momentum. I was looking for more tax efficient strategies and came up with this strategy which performs almost identically to the one it replaced, The Russell, with the benefit of a huge change in the amount of gains which are realized as long term gains, so this is an excellent strategy regardless of whether in in a tax advantaged account or not.
If there is positive momentum in the Russell 1000 the strategy invests in IWB. If there is not positive momentum it invests in Extended Duration Treasuries, EDV. Smart Leverage is used, when there is a month end outsized drawdown in the markets the fund will trigger a leverage entry back into equities, going into the 3X S&P 500 UPRO. The strategy, depending on continued upward momentum in the Russell 1000, will hold this leveraged ETF for up to one year at which time the strategy exits it, locks in the long term gains, and reverts back to IWB which is an unleveraged holding.
This strategy has excellent results every decade, regardless of the general performance of the USA markets.
This strategy is suitable for Whale investors with allocations in excess of $2.5 million.
See the reporting decks for more detailed investment performance and metric information.
The inception date for this strategy is January 2022 and is only out of sample after that date.