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Symphonies
Volatility Theory
Today’s Change
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A symphony is an automated trading strategy — Learn more about symphonies here

About

A daily, rules‑based switch among cash (SHV), volatility funds (UVXY/VIXY), a defensive anti‑beta fund (BTAL), or 3× tech (TECL). It buys volatility after overbought markets, buys 3× tech after oversold tech, and otherwise stays defensive.
NutHow it works
It runs daily checks on simple “heat” scores (RSI, 0–100) for big U.S. stock baskets: QQQ (Nasdaq 100) and SPY (S&P 500). If they look extremely hot (>80), it buys UVXY, a fund that jumps when fear (VIX) spikes. If the trend is only moderately strong, it may hold VIXY or BTAL (a defensive anti‑beta fund) if volatility is heating up; otherwise it parks in SHV (T‑bills). If QQQ looks washed‑out (<31), it buys TECL, a 3× tech fund, for a rebound.
CheckmarkValue prop
Out-of-sample shows ~11% annual return with a 0.44 Sharpe, and higher drawdown than SPY (23.5% vs 18.8%). It offers diversification by cycling into volatility and leveraged tech, aiming for non-correlated upside during regime shifts.
1M
3M
6M
YTD
1Y
3Y
Max
www.composer.trade
Performance
Compared to selected benchmarks
AlphaBetaR2R
SPY
0.62-0.060-0.02
Performance Metrics
Cumulative ReturnAnnualized ReturnTrailing 1M ReturnTrailing 3M ReturnSharpe Ratio
SPY
622.06%14.72%-1.77%0.2%0.9
Volatility Theory
194,594.25%69.23%-9.35%1.91%1.43
Initial Investment
$10,000.00
Final Value
$19,469,425.29
Regulatory Fees
$31,859.38
Total Slippage
$222,531.22
Invest in this strategy
OOS Start Date
Aug 9, 2024
Trading Setting
Daily
Type
Stocks
Category
Volatility timing, tactical allocation, leveraged etfs, rsi signals, high risk, market neutral, cash/t-bills
Tickers in this symphonyThis symphony trades 7 assets in total
Ticker
Type
BTAL
AGF U.S. Market Neutral Anti-Beta Fund
Stocks
QQQ
Invesco QQQ Trust, Series 1
Stocks
SHV
iShares Trust iShares 0-1 Year Treasury Bond ETF
Stocks
SPY
State Street SPDR S&P 500 ETF Trust
Stocks
TECL
Direxion Daily Technology Bull 3x ETF
Stocks
UVXY
ProShares Ultra VIX Short-Term Futures ETF
Stocks
VIXY
ProShares VIX Short-Term Futures 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.

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

"Volatility Theory" is currently allocated toSHV. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "Volatility Theory" has returned 11.05%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "Volatility Theory" is 23.50%. 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 "Volatility Theory", 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.