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Symphonies
XLU Utilities testing
Today’s Change
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A symphony is an automated trading strategy — Learn more about symphonies here

About

A daily, rules‑based rotation that compares Utilities vs Technology. If defense is favored, it builds a cautious basket (utilities, bonds, cash, hedges); if offense is favored, it buys QQQ—unless Tech looks overheated, then it pivots into diversified utilities stocks.
NutHow it works
Each day it checks which is stronger: Technology (XLK) or Utilities (XLU) using RSI (a 0–100 recent‑strength score). If Utilities lead, it builds a small, equal‑weighted “safety” mix picked by short‑term trends from utilities, cash‑like T‑bills (BIL), Treasuries (IEF/SHY/TLT/TFLO), munis (MUB), and hedges (BTAL/SH)—or, if signals improve, selective risk‑on funds (SPHB/IWF/XAR/UDOW). If Tech leads and isn’t overheated, buy QQQ; if Tech is overheated (RSI>65), shift into a diversified basket of individual utilities stocks, weighted toward steadier names.
CheckmarkValue prop
Strong risk-adjusted edge: OOS Sharpe ~1.57, Calmar ~1.30, and beta ~0.54, delivering solid upside while keeping drawdowns near the S&P 500. A ballast, rules-based rotation that participates in growth with less market risk.

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Invest in this strategy
OOS Start Date
Oct 28, 2023
Trading Setting
Daily
Type
Stocks
Category
Sector rotation, utilities vs technology, momentum (rsi), risk-on/risk-off, bonds and hedges, utilities stock basket, daily rebalance
Tickers in this symphonyThis symphony trades 37 assets in total
Ticker
Type
ATO
Atmos Energy Corporation
Stocks
AWK
American Water Works Company, Inc
Stocks
BIL
State Street SPDR Bloomberg 1-3 Month T-Bill ETF
Stocks
BIP
Brookfield Infrastructure Partners L.P. Limited Partnership Units
Stocks
BTAL
AGF U.S. Market Neutral Anti-Beta Fund
Stocks
CMS
CMS Energy Corporation
Stocks
CNP
CenterPoint Energy, Inc.
Stocks
ED
Consolidated Edison, Inc.
Stocks
ETR
Entergy Corporation
Stocks
FAS
Direxion Daily Financial Bull 3x 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.

"XLU Utilities testing" is currently performing the same as yesterday today. Performance updates in real time during market hours.

"XLU Utilities testing" is currently allocated toSHY, XLU, TFLOandBIL. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "XLU Utilities testing" has returned 20.44%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "XLU Utilities testing" is 18.95%. 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 "XLU Utilities testing", 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.