Exhibit 2 | ADAPTIVE ASSET ALLOCATION
Backtest results
Metrics
1Y · since Oct 2025Exhibit 2 | ADAPTIVE ASSET ALLOCATION | |
|---|---|
| Total Return | +4.81% |
| CAGR | +4.85% |
| Sharpe | 0.61 |
| Calmar | 0.72 |
| Max DD | -6.77% |
| Volatility | 8.34% |
| Win Rate | 52.6% |
Last year of a hypothetical backtest, Oct 30, 2025 to Oct 30, 2026. Create an account to see the full history.
About this strategy
A steady-beat allocation that weights each holding by inverse volatility, giving more capital to low-volatility assets like gold (GLD) and long-term treasuries (TLT) while still allocating to broad equity exposure such as the S&P 500 (SPY) and emerging markets (EEM). The portfolio remains fixed, rebalancing only periodically to maintain the volatility-balanced mix and keep risk contributions equal across all ten funds.
Current allocation
What the rules select as of Oct 30, 2026.
- IEF20.7%
iShares 7-10 Year Treasury Bond ETF
- VNQI12.1%
Vanguard International Equity Index Funds Vanguard Global ex-U.S. Real Estate ETF
- TLT10.9%
iShares 20 Year Treasury Bond ETF
- VGK10.1%
Vanguard FTSE Europe ETF
- SPY9.9%
State Street SPDR S&P 500 ETF Trust
- DBC9.9%
Invesco DB Commodity Index Tracking Fund
- EWJ8.4%
iShares MSCI Japan ETF
- VNQ7.2%
Vanguard Real Estate ETF
- GLD5.6%
SPDR Gold Trust, SPDR Gold Shares
- EEM5.3%
iShares MSCI Emerging Markets ETF
Frequently asked questions
What is Exhibit 2 | ADAPTIVE ASSET ALLOCATION?
A steady-beat allocation that weights each holding by inverse volatility, giving more capital to low-volatility assets like gold (GLD) and long-term treasuries (TLT) while still allocating to broad equity exposure such as the S&P 500 (SPY) and emerging markets (EEM). The portfolio remains fixed, rebalancing only periodically to maintain the volatility-balanced mix and keep risk contributions equal across all ten funds.
What is Exhibit 2 | ADAPTIVE ASSET ALLOCATION holding today?
As of Oct 30, 2026, Exhibit 2 | ADAPTIVE ASSET ALLOCATION allocates to IEF 20.7%, VNQI 12.1%, TLT 10.9%, VGK 10.1%, SPY 9.9%, DBC 9.9%, EWJ 8.4%, VNQ 7.2%, GLD 5.6%, EEM 5.3%.
How has Exhibit 2 | ADAPTIVE ASSET ALLOCATION performed over the past year?
From Oct 30, 2025 to Oct 30, 2026, Exhibit 2 | ADAPTIVE ASSET ALLOCATION returned +4.7% in a hypothetical backtest. Past performance does not guarantee future results.
What is the maximum drawdown of Exhibit 2 | ADAPTIVE ASSET ALLOCATION?
From Oct 30, 2025 to Oct 30, 2026, the largest peak-to-trough decline of Exhibit 2 | ADAPTIVE ASSET ALLOCATION in a hypothetical backtest was -6.8%.
How do I use Exhibit 2 | ADAPTIVE ASSET ALLOCATION?
Open Exhibit 2 | ADAPTIVE ASSET ALLOCATION in Quantly to rerun the backtest, adjust the rules, and paper trade it. You can also connect a supported brokerage to trade your version live.
Backtest results are hypothetical and do not guarantee future returns. Strategies are shared by Quantly users for research only and are not investment advice.