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Free and Pro strategy results.

Choose Free or Pro. Review the hypothetical growth, declines, annual results, costs, and limitations for each strategy.

Free and Pro use different portfolio rules. Their simulations share the same historical dates, but their construction and cost models differ, so this is not a head-to-head ranking.

Pro · Historical research

Pro combines daily stock selection with long and short positions. Reviews are spread across different days, with position sizes set by the model’s risk rules.

January 3, 2012 — December 31, 2025Daily strategy · Long and short positions
Annualized return
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Hypothetical compound growth
Largest simulated decline
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Daily peak-to-trough drawdown
Median calendar-year return
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Middle of the 14 annual results
Research status. These figures use a selected historical universe and modeled costs. Historical inputs, account execution and exposure enforcement remain under validation. They are not live investor returns or a forecast.

01 / The record

Growth and the difficult periods.

Follow a hypothetical $10,000 through the selected period. Switch to drawdown to see losses from earlier peaks.

Pro · Historical research

The chart compares two MI research designs over the same dates, with the same stock-review schedules and modeled costs. Both use hypothetical daily portfolio values.

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Longest completed recovery to a prior peak

Annual experience / 2012–2025

The median year, and the range around it.

The annualized return summarizes compounded growth across the whole period. The median and spread show how different the individual years were.

Median year
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Middle annual return
Middle 50% of years
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25th to 75th percentile
Worst year
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Best year
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Each dot is one year. The band marks the middle half of historical outcomes; it is not a forecast range or confidence interval.

Inspect every calendar year
Compounded daily returns after each record's specified modeled costs; 2012–2025.
YearPro research

02 / The rules

How the selected strategy works.

The strategy follows rules for choosing investments, adjusting how much to invest and holding cash. It adds more weight to stocks showing sustained strength when conditions improve, and reduces that extra allocation when risk signals persist. A smaller part can also take positions intended to benefit from falling prices.

  1. Choose investments and when to hold cash.

    The main portfolio follows rules for what to own, how much to hold and when to keep money in cash. It forms the foundation of the strategy. These are the research rules tested here; they differ from the strategy currently delivered in MI subscriptions.

  2. Give more room to stocks showing sustained strength.

    The strategy looks for stocks whose strength is not explained simply by a rising market. It gives lower scores to stocks with larger price swings. When stronger conditions persist, more of the starting mix goes to these stocks. When risk signals persist, that added allocation falls to zero. The main portfolio can still hold investments.

  3. Keep the part that can benefit from falling prices smaller.

    Pro also combines buying shares with selling borrowed shares. Buying aims to benefit from rising prices; selling borrowed shares aims to benefit from falling prices. Either can lose money. Position limits and modeled borrowing costs are included in the research.

  4. Review different groups on different days.

    The stocks selected for their strength are divided equally among ten groups. Each group aims to hold ten stocks and is reviewed every ten trading days, with a different starting day. The same stock can appear in more than one group. Spreading the reviews reduces dependence on having chosen one favorable day to make changes.

See how the starting mix changes

Main portfolioStocks showing strength

Under normal conditions, 70% of the starting mix goes to the main portfolio and 30% to stocks selected for sustained strength.

Smaller allocationPro includes a long/short component whose position sizes are limited by the model’s risk rules.

These examples show the starting mix. The separate part that buys and sells borrowed shares, and the final position sizes, are calculated afterward. Holdings can also include cash. This illustrates the rules; it is not a forecast.

The detailed rules behind these steps

Position sizing

The long/short component uses starting allocations of 8.75% or 20%, depending on conditions. Final position sizes are set by the model’s risk rules.

Wait for signals to persist

Stocks selected for sustained strength receive 30% of the starting mix normally, 75% in confirmed stronger conditions, and 0% in confirmed risk conditions. Moving to 75% requires at least six of seven signals for five trading days in a row. Risk conditions take priority and require at least three of six signals for three days in a row. Changes take effect in the next session in this simulation; exact execution in a single trading account still needs validation.

04 / The evidence

Know what these results measure.

A hypothetical research record shows how specified rules behaved on the supplied history. Its assumptions and unresolved limitations are part of the result.

Method at a glance

Configuration
Stock selection that responds to market conditions, a long/short component, and ten staggered review schedules.
Research decision
September 14, 2026 · Not a production release
Period
January 3, 2012–December 31, 2025 · 3,520 sessions
Modeled costs
Trading costs within each component are included. Changes in the mix add a 0.12% charge on measured allocation turnover, plus 5% annual interest on modeled borrowing. Costs of keeping the ten stock groups equally weighted are also included.
Return convention
252-session annualization. Before investor taxes and MI subscription charges. Model costs are estimates, not realized broker expenses.

What remains unresolved

  • The stock roster contains selected surviving securities rather than a fully historical membership list.
  • The historical price eligibility rule is affected by subsequent corporate actions.
  • The timing of trades, cash, availability of shares to short and required collateral still need to be reconciled in one trading account.
  • The model’s estimate of total position exposure reached 122.52%, above the 120% target. A firm account-level limit remains unimplemented.
  • The period has been used in research. It is not an untouched test or live track record.

These issues require correction or appropriately narrowed claims before performance-led publication. A “hypothetical” label alone does not repair incorrect calculations.

The current MI experience

See an MI review.

Explore the newsletter guide to see how portfolio changes are explained. Historical charts are hypothetical research; newsletters show ongoing model decisions. MI does not place trades on your behalf.

Read the Free archive →Published issues · No account connection required