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Geopolitical Crisis

War/crisis beneficiaries: energy + defense spike when vol rises

Geopolitical Crisis Alpha 4Y (2022-2025)

3Y
Total Return
+19.0%
3Y
Sharpe Ratio
0.10
3Y
Max Drawdown
-29.7%
3Y
Win Rate
52.6%
3Y
Alpha
-6.4%
3Y
Comp. Score *
0.02
Risk Parameters
Max Allocation3.7%
Stop Loss25.0%
Take Profit5.0%
Max DD Tolerance29.7%
Rebalanceweekly
Execution Guidance
Order TypeLimit
Entry Rule0.5% below current price for buys
TimingSAFE TO BUY. *
ScalingEnter in 3 tranches over 1-2 weeks to average in
Positions — Vol-Adjusted Sizing
SymbolActionVol Stop LossTake ProfitSizeLinks
DVN BUY 37% 38.5% below entry 7.7% above entry 2.4% TVYH
XLE BUY 23% 23.8% below entry 4.8% above entry 3.9% TVYH
HAL BUY 39% 40.0% below entry 8.1% above entry 2.3% TVYH
NOC BUY 26% 26.9% below entry 5.4% above entry 3.4% TVYH
RTX BUY 25% 26.1% below entry 5.2% above entry 3.5% TVYH
GLD BUY 23% 24.1% below entry 4.8% above entry 3.8% TVYH
SLV BUY 46% 40.0% below entry 9.8% above entry 1.9% TVYH
LMT BUY 25% 26.4% below entry 5.3% above entry 3.5% TVYH
ITA BUY 21% 22.3% below entry 4.5% above entry 4.1% TVYH
▶ For Passive Investors (Buy & Hold)

This strategy has moderate long-term potential but requires more active monitoring than a pure passive approach. Entry: Wait for a pullback before entering. Buy in 3 tranches over 2-4 weeks to average your entry price. Rebalance: Check monthly. This strategy is more volatile and needs closer attention. Exit rules: - Take profit: Rebalance when any position exceeds 2x its target weight. Trim back to target, redeploy to underweight positions. - Stop loss: NO price-based stop loss. This strategy recovered from -32% drawdown to return 26% over the long term. Stopping out would have locked in losses. - Exit rule: Review annually. Exit if the strategy underperforms its benchmark for 3 consecutive years with no clear reason to hold.

Avg 5Y Return
21.6%
Avg 5Y Sharpe
0.08
Avg 5Y Max DD
-29.7%
10Y Return (2015-2024)
26.2%
10Y Sharpe
-0.03
10Y Max DD
-32.1%
HODL Composite
0.11
Windows Tested
28
Consistency
60%