The AP US Large-Cap Hedged 1.5X Shares
It is advisable to use the strategy if you want to protect your money, avoid big drops and at the same time achieve a stimulating return.
Aims to outperform the S&P 500 in risk-adjusted return, achieving above-average returns and low volatility.
Advantages of this strategy
An average annual return of 13.75 %
The maximum decline since 2008 was 17.1 %
Balanced diversification among the US market
Based on machine learning and artificial intelligence
|S&P 500||AP Hedged|
|Initial capital (1/31/2008)||$ 100 000||$ 100 000|
|Final capital (11/30/2021)||$ 331 290.11||$ 594 325.86|
Hedged strategy for investors who seek stability
Performance comparison of our AP Hedged Strategy with the S&P 500
Drawdowns comparison of our AP Hedged Strategy with the S&P 500
Empirical research in statistics, machine learning and artificial intelligence
Based on these tools, we can automatically rate stocks from the most undervalued to the most overvalued and determine which stocks shall become a part of the strategy. The strategy involves buying long and short positions using leverage of 1.5. The portfolio is rebalanced at regular monthly intervals. This strategy works best with brokers enabling the trading of fractional shares.
The stated results do not take into account stock exchange fees and taxes. When applying the strategy at Interactive Brokers, the fees are approximately 600 USD per year for non-US residents. No fees apply to US residents. If the account is not held in USD, the fee for using leverage is about 0.6% per year.