A multi-layer momentum- and volatility-driven rotation strategy that zigzags between volatility hedges and leveraged equity bets, with a KMLM-driven futures rotation, designed to capture big moves while trying to limit drawdowns.

In plain speak: the system watches a broad set of assets and looks for momentum signals (whether recent moves are strong). If signals look favorable for the stock side, it tilts toward riskier bets (leveraged tech/semis, certain sector bets). If signals flip toward danger, it pivots into volatility hedges (VIX-related ETFs) or cash-like Treasuries (BIL). It uses a chain of if-then decisions to select one main exposure pathway at a time, often enhancing or hedging with a mix of VIX proxies. A separate “KMLM switcher” sub‑system adds a managed futures flavor, selecting among futures-like exposures to diversify. The plan is highly automated, with heavy emphasis on conditional allocations rather than a single static portfolio, aiming to chase big moves while trying to limit drawdowns. The overall tone is aggressive and complex and relies on relatively short-term momentum signals rather than long-term buy-and-hold. Risk note: the mix includes leveraged and volatility instruments that can magnify losses as well as gains; it’s not suitable for all investors without strict risk controls.

Dynamic momentum/volatility rotation aims for big moves with hedges. Out-of-sample return 25.9% vs SPY 16.5%; Calmar 1.16 signals strong risk-adjusted gains; beta ~0.39 indicates less market sensitivity; drawdowns can be larger (~22%).