Skip to Content
Symphonies
Equities Volatility Targeting Strategy
Today’s Change
—

A symphony is an automated trading strategy — Learn more about symphonies here

About

Daily inverse-volatility weighting across five big US stocks (AAPL, MSFT, GOOGL, AMZN, TSLA) with 30-day volatility lookback. More weight to steadier stocks; rebalances daily to modestly reduce risk while maintaining equity exposure.
NutHow it works
- Each day, pull the last 30 trading days of daily price changes for the five stocks: AAPL, MSFT, GOOGL, AMZN, TSLA. - For each stock, compute volatility (how wildly its price moves). - Set weight_i proportional to 1/vol_i so steadier stocks get bigger shares. Normalize so all weights sum to 100%. - Rebalance the portfolio to those weights every trading day. - Objective: reduce overall portfolio volatility while remaining invested in these five names. - Notes: this is a mechanical, rules-based approach; expect trading costs and consider how stocks move together in crises.
CheckmarkValue prop
Five-stock inverse-volatility strategy: ~43.1% annualized return vs S&P 22.9%, with stronger risk-adjusted metrics (Calmar 2.37, Sharpe 1.50). Fully invested, daily rebalanced toward steadier leaders (AAPL, MSFT, GOOGL, AMZN, TSLA). Drawdowns may be higher (~18%).
1M
3M
6M
YTD
1Y
3Y
Max
www.composer.trade
Performance
Compared to selected benchmarks
AlphaBetaR2R
SPY
0.111.160.690.83
Performance Metrics
Cumulative ReturnAnnualized ReturnTrailing 1M ReturnTrailing 3M ReturnSharpe Ratio
SPY
710.82%14.39%-1.77%0.2%0.88
Equities Volatility Targeting Strategy
5,116.89%28.92%1.07%-7.06%1.18
Initial Investment
$10,000.00
Final Value
$521,688.89
Regulatory Fees
$283.18
Total Slippage
$1,596.53
Invest in this strategy
OOS Start Date
Mar 2, 2025
Trading Setting
Daily
Type
Stocks
Category
Equities, inverse volatility, volatility targeting, daily rebalancing, risk management
Tickers in this symphonyThis symphony trades 5 assets in total
Ticker
Type
AAPL
Apple Inc.
Stocks
AMZN
Amazon.Com Inc
Stocks
GOOGL
Alphabet Inc. Class A Common Stock
Stocks
MSFT
Microsoft Corp
Stocks
TSLA
Tesla, Inc. Common Stock
Stocks

FAQ

A Composer symphony is an automated trading strategy that executes trades based on parameters of your choice. Some symphonies are similar to holding one ETF in normal conditions and rotating to a different ETF when market conditions shift, for example a 5% drop in the S&P 500, while others use complex rules with dozens of triggers. However, complex doesn’t always mean better. A simple, well-structured symphony can be just as effective as an intricate one. Learn more about how symphonies work here.

"Equities Volatility Targeting Strategy" is currently performing the same as yesterday today. Performance updates in real time during market hours.

"Equities Volatility Targeting Strategy" is currently allocated toAAPL, AMZN, MSFT, TSLAandGOOGL. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "Equities Volatility Targeting Strategy" has returned 24.35%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "Equities Volatility Targeting Strategy" is 18.20%. The maximum drawdown measures the largest peak-to-trough decline. It's an important metric to evaluate risk and the strategy's behavior during market stress.

To invest in "Equities Volatility Targeting Strategy", simply click the Invest button on this page. You'll need to open an account with Composer if you don't have one yet, then you can start investing. Composer will automatically execute the trades for you based on the strategy's rules. Composer also supports trading individual stocks, ETFs, and options.