25/20 BIL · MODEL SPECIFICATION

Strategy rules

The model is mechanical: the same market data must always lead to the same decision.

How the model works

9 fixed rules
  1. 01

    During Risk On, the portfolio holds the 10 highest-ranked Nasdaq-100 stocks, equally weighted at entry.

  2. 02

    Momentum is measured weekly: over 13 weeks at the beginning of a Stage 2 trend, then from the trend start date.

  3. 03

    A stock is eligible for purchase inside the top 10 and is not sold until it falls below rank 15.

  4. 04

    Risk On requires the SPX to be above rising 10-week and 30-week moving averages; the risk filter uses the 40-week moving average.

  5. 05

    Exit requires two weekly closes below the 40-week moving average, with an immediate exit if the SPX falls more than 5% below it.

  6. 06

    When a position exceeds 25%, it is trimmed to 20% and the proceeds are allocated across the remaining holdings.

  7. 07

    During Risk Off, all stocks are sold and the portfolio is allocated to BIL.

  8. 08

    Signals are set at the weekly close and simulated trades are executed at the next market open.

  9. 09

    The simulation excludes fees and transaction costs.

Fixed parameters

No discretion
ParameterRule
UniverseNasdaq 100
Portfolio10 stocks
Entry thresholdRanks 1–10
Exit thresholdRank > 15
Regime filterSPX Stage 2 / 40-week SMA
Exit confirmation2 weekly closes
Crash override5% below 40-week SMA
Position limitTrim from 25% to 20%
Risk Off100% BIL
ExecutionNext market open after weekly signal
Costs0 bps in the simulation