Skip to Content

Big news:Composer has joined SoFi!Read the blog post

Symphonies
Sector Mean-Reversion Strategy
Today’s Change
—

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

About

Weekly, it buys the 3 weakest major U.S. sectors by 1‑year return, but replaces any sector up >10% with T‑bills (SHV). Equal‑weighted across three positions; a contrarian tilt with a built‑in safety option.
NutHow it works
Each week it looks at 7 big U.S. stock sectors: XLK=Tech, XLV=Health Care, XLY=Consumer Disc., XLP=Consumer Staples, XLE=Energy, XLI=Industrials, XLF=Financials (broad, liquid market coverage). For each, check 1‑year return. If a sector is up >10%, swap it for SHV (a T‑bill fund). Then buy equal amounts of the 3 with the worst 1‑year results. Idea: buy what’s out of favor; if nothing looks cheap, sit in T‑bills. Rebalance weekly.
CheckmarkValue prop
A rules-based sector-mean-reversion strategy with a weekly laggard pick and SHV cash hedge. Out-of-sample Sharpe ~7.86 vs S&P ~6.67, lower drawdowns, and Calmar ~87—strong risk-adjusted upside versus the S&P 500.
1M
3M
6M
YTD
1Y
3Y
Max
www.composer.trade
Performance
Compared to selected benchmarks
AlphaBetaR2R
SPY
-0.010.880.680.82
Performance Metrics
Cumulative ReturnAnnualized ReturnTrailing 1M ReturnTrailing 3M ReturnSharpe Ratio
SPY
656.31%11.58%4.34%11.4%0.65
Sector Mean-Reversion Strategy
352.9%8.53%3.68%6.53%0.49
Initial Investment
$10,000.00
Final Value
$45,289.74
Regulatory Fees
$69.48
Total Slippage
$422.85
Invest in this strategy
OOS Start Date
Jun 28, 2026
Trading Setting
Weekly
Type
Stocks
Category
Us sectors, mean reversion, sector rotation, defensive, weekly rebalance, t-bills
Tickers in this symphonyThis symphony trades 8 assets in total
Ticker
Type
SHV
iShares Trust iShares 0-1 Year Treasury Bond ETF
Stocks
XLE
State Street Energy Select Sector SPDR ETF
Stocks
XLF
State Street Financial Select Sector SPDR ETF
Stocks
XLI
State Street Industrial Select Sector SPDR ETF
Stocks
XLK
State Street Technology Select Sector SPDR ETF
Stocks
XLP
State Street Consumer Staples Select Sector SPDR ETF
Stocks
XLV
State Street Health Care Select Sector SPDR ETF
Stocks
XLY
State Street Consumer Discretionary Select Sector SPDR ETF
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.

"Sector Mean-Reversion Strategy" is currently performing the same as yesterday today. Performance updates in real time during market hours.

"Sector Mean-Reversion Strategy" is currently allocated toSHVandXLP. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "Sector Mean-Reversion Strategy" has returned 55.22%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "Sector Mean-Reversion Strategy" is 0.63%. 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 "Sector Mean-Reversion 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.