What is RotationInvest.com?
RotationInvest.com is a research, analysis and back testing platform for stocks, bonds, ETFs and mutual funds. The tools provided allow investors to find, test and refine robust rule based, quantitative, investment strategies that aim at providing exposure to uptrends across markets and avoiding draw-downs. Our tools include rotation/momentum backtester, adaptive asset allocation backtester, moving average crossover filter backtester, volatility target backtester, portfolio with rebalancing backtester, total returns vs. price returns backtester, and multiple tools to combine the listed strategies into 1 complete strategy. You can find more information about each tool in the How To section of our website.
Can I save and reload my settings inside each tool for later use?
Yes, at the bottom of settings input area, there will be a purple box, this box will contain a URL that can be copied and saved for future reference.
How To Use This Feature:
Step 1: Input settings into the tool, the URL will be automatically updated whenever you change any of the inputs.
Step 2: Copy the URL from the box
Step 3: Save this url to a word or text file, if you would like to bookmark it, paste it into a new window and press enter, then bookmark it.
Step 4: Download the HTML report in the downloads area, the URL will also be saved at the bottom of this report.
What is rotation investing and momentum investing and sector rotation?
These terms refer to choosing assets from a list based on how strong (relative strength) they have been over the past few months. The tools on this site allow you to rotate an almost unlimited number of assets covering a wide range of stocks, ETFs and mutual funds. Our relative strength tool allows us to determine the strength ranking based on not only momentum or relative strength, but also based on volatility, Sharpe Ratio and Information Ratio. Each period based on the strength score (rank) of the all the funds you enter in your list the Rotational back tester will invest in the top X funds (number of funds invested in is customizable) and hold those funds until the next period when the strength values are recalculated and adjustments to the funds invested in will be made.
Are there any example portfolios I can use with RotationInvest.com’s tools?
Yes, example portfolios can be found at the bottom of each How To page (under the How To menu item).
What is Adaptive Asset Allocation Investment?
Adaptive Asset Allocation is simply a way of choosing how much of your portfolio should be invested in each asset you plan on investing in. Traditionally assets allocation is a fixed percent, such as 50% in SPY, and 50% in TLT, with asset allocation the weight is chosen based on the strength of the asset not on an fixed percentage. Our asset allocation tool allows users to build a portfolio of stocks, ETFs and mutual funds, select how often they want to adjust their portfolio weightings, and select how the asset allocation will be done. Strength numbers for each asset come from Volatility or Variance or Sharpe Ratio or the Information Ratio.
What is trend trading?
Trend trading is an attempt to get in on large uptrends while avoiding large downtrends in the market by buying as markets get stronger and selling when markets start getting weaker. Our rotational backtesting tool and market moving average tool invest along these lines, and our adaptive asset allocation also adjusts portfolios to take advantage of trends.
Can I get a free trial, or a free trial without entering my credit card?
We currently offer a 1 Month free trail, on the Month by Month Payment Option. There is no credit card or payment information required.
What funds are available inside the RotationInvest.com’s tools?
A very wide range of stocks, bonds, Exchange Trade Funds (ETFs), and mutual funds are available. We have a professional quality data feed that has US stocks, ETFs, and mutual funds available. We also have a historical data feed option that goes back as far as 1924 available in all our backtesting tools.
What Symbols are supported and how is price adjustments (dividends/splits) factored in?
How are Calculations Performed for Positions Scores & Filters?
What investment tools are included in RotationInvest.com?
The primary tools are the Rotational Strength (momentum) based back tester, the adaptive asset allocation tool, the moving average filter, the volatility target, the volatility target with cash fund tool, the total return tool, the ratio and correlation tool, the portfolio rebalancing tool, the combined strategy tool, the portfolio moving average, and the portfolio rotation and adaptive asset allocation tool. More information about settings and what each tool does can be found in the How To section of the main menu above.
What Funds are available in the Historical Data, and what history lengths are available for each fund?
What is a Monte Carlo Simulation?
Monte Carlo simulations are run on every backtest our tools perform, this tool provides the ability to test long term expected portfolio growth based on savings and account size, and portfolio survival based on withdrawals, and if a portfolio can survive the planned withdrawals during the retirement years. What the Monte Carlo simulation does is take the expected returns rate from the backtest and the volatility values from the backtest, and use these values to construct a normal distribution of expected returns and randomly choose outcomes up to 1000 times to give an expected portfolio return. Since results are based on the backtests return % and volatility % the results are only as accurate as the backtest is an accurate representation of future results. We also have stand alone Monte Carlo simulators for savings and withdraw, where users can manually input their expected return % and volatility %. Monte Carlo simulation is not investment advice, nor is it a guarantee of future performance.
Calculation of the normal distribution has density: f(x) = 1/(√(2 π) σ) e^-((x – μ)^2/(2 σ^2)) where μ is the mean of the distribution and σ the standard deviation.
Are the backtesting tools online and is it compatible with my computer?
Yes, all tools are online web applications that should work on Windows, Mac, Linux, Android tablets, iPads or on modern smartphones. They are designed to use features found in modern web browsers, therefore it is recommended that you update your web browser to IE11+, or the latest version of Safari, Firefox or Google Chrome.
Are there any requirements for running RotationInvest.com, what browsers work well?
A modern browser is required, any modern browsers such as Microsoft Edge, Firefox, Chrome, Safari should work well. If you are having issues with RotationInvest.com working slowly or hanging, please consider downloading Google Chrome as we have done the most testing with this browser: https://www.google.com/chrome/
Can I Trade Foreign Markets such as Canada or London?
We have a beta non-US feed that allows Toronto, London, and Australian tickers. Please contact us with a list of symbols you would like to trade and we can look into how well these funds are supported.
How do I choose what to invest in?
While we assume investors have their own ideas about what asset classes, countries, funds, countries or sectors to invest in; we also provide pre-built strategies that highlight some of the possibilities of the tools that may be a good place to begin building your own strategies. These ideas can be found at the bottom of any how to page, click here to choose the tool you would like to see strategies for.
Do all results include dividends?
Yes, all results and calculations include dividends and splits.
Do any results include slippage or commissions?
No, all results buy and sell the fund at the end of day price for that symbol. Some thought should be give as to how best to execute these strategies to achieve minimal slippage, and ensure all dividends are captured. One strategy that may be worth considering is running a backtest the night before the next period update to get the current allocations and scheduling the appropriate buys and sells for the next day.
For the look-back lengths how are months and 1/2 months calculated?
Months are assumed to be 22 days long (this is the approximately the average number of days in a month), therefore 1/2 months are 11 days long. There is an option in all tools to select ‘Use Actual Months’, when this is selected the calculations will be performed over actual months instead of average months (ex. 1/1 to 2/1 is 1 actual month).
How do I manage my subscription, cancel my subscription, change my password, view how long I have access for?
How do we contact you with questions?
Our email is: [email protected]
If you cannot find these documents please email us at: [email protected]
Can you or do you give investment advice?