Last month we launched Meta Strategy, our own smart approach to combining the 40+ tactical asset allocation strategies tracked on our site. Each month, Meta selects 10 strategies and then trades their combined asset allocation. Members can follow Meta in near-real time.
Each month’s 10 strategies are selected based on a number of factors (read more), including how well each strategy plays with the other strategies in the portfolio. A lot of members have asked for a data dump showing how often historically Meta would have selected each underlying strategy (yes, we love how nerdy our members often turn out to be). There are probably some strategies that Meta is trading today that members might find surprising, so it’s helpful to give a little historical context. Members, go to Meta’s Underlying Strategies page to see the strategies that Meta is currently trading.
Calculation note: The “% of months selected” only includes the period when each strategy was eligible for inclusion in Meta. Strategy backtets start on different dates depending on data availability, so not all strategies were available for selection at Meta’s inception.
6 out of the 10 strategies that Meta is trading right now, are also in the top 10 list shown here. To a large degree, there’s continuity in strategies selected. Strategies often selected in the past, are likely to be selected again in the future, because generally speaking, good strategies are good strategies.
Does that mean that the data above represents a ranked list of our “best” strategies? Not really. The strategies that Meta is trading right now represent what Meta sees as today’s “best” strategies (bearing in mind that part of the selection process is judging not just each strategy in isolation, but how well strategies play together).
The list above really represents what Meta saw as the best strategies over time, given the data available to it at that moment. That’s an important distinction. Strategies at the top of the list are more likely to be chosen in the future, but Meta could abandon a strategy at any time if it turns sour (ex. Global Risk-Parity Trend Following).
We invite you to become a member for about $1 a day, or take our platform for a test drive with a free limited membership. Members can track the industry’s best tactical asset allocation strategies in near real-time, and combine them into their own custom portfolios. Have questions? Learn more about what we do, check out our FAQs or contact us.