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Symphonies
Hedged Regime Switching 2.2
Today’s Change
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A symphony is an automated trading strategy — Learn more about symphonies here

About

A daily, volatility-aware ETF rotation. It first hedges extremes (UVXY or short/bonds), then uses trend and mean‑reversion to switch among US stocks (SPY/QQQ, sometimes 2×), Treasuries (SHY/BSV/TLT), the US dollar (UUP), or defensive/inverse (XLP/QID).
NutHow it works
Signals: RSI (0–100 “heat”; 80+ too hot, 30- too cold) and 50/200‑day moving averages (trend). Daily: 1) If S&P or Nasdaq too hot (RSI≥80) → hedge with UVXY (volatility). 2) Else if UVXY is hot (RSI>70) → go to PSQ (short Nasdaq) or BSV (short‑term bonds), whichever is more washed out. 3) Else trend filter: - Above 200‑day → buy the most oversold of SPY/QQQ or 2× (SSO/QLD), or SHY. - Below → pick TLT or UUP via bond trend; in deep weakness: QLD for bounce if oversold, else split QID + XLP.
CheckmarkValue prop
Out-of-sample, this volatility-aware ETF rotation aims for higher long-run returns (≈36% vs 23% for SPY) with solid risk-adjusted metrics (Calmar ≈1.33) and adaptive hedges, designed to outperform the S&P 500 over market cycles.

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Invest in this strategy
OOS Start Date
Sep 27, 2022
Trading Setting
Daily
Type
Stocks
Category
Tactical etf rotation, trend + mean reversion, volatility hedge, inverse etfs, bonds/usd defensives, daily rebalance
Tickers in this symphonyThis symphony trades 12 assets in total
Ticker
Type
BSV
Vanguard Short-Term Bond ETF
Stocks
PSQ
ProShares Short QQQ
Stocks
QID
ProShares UltraShort QQQ
Stocks
QLD
ProShares Ultra QQQ
Stocks
QQQ
Invesco QQQ Trust, Series 1
Stocks
SHY
iShares 1-3 Year Treasury Bond ETF
Stocks
SPY
State Street SPDR S&P 500 ETF Trust
Stocks
SSO
ProShares Ultra S&P500
Stocks
TLT
iShares 20+ Year Treasury Bond ETF
Stocks
UUP
Invesco DB US Dollar Index Bullish Fund
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.

"Hedged Regime Switching 2.2" is currently performing the same as yesterday today. Performance updates in real time during market hours.

"Hedged Regime Switching 2.2" is currently allocated toSSO. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "Hedged Regime Switching 2.2" has returned 29.58%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "Hedged Regime Switching 2.2" is 27.22%. 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 "Hedged Regime Switching 2.2", 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.