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Accelith develops systematic, rule-based investment strategies derived from empirically observable market signals. The strategies follow a formalized investment methodology with clearly defined decision parameters and are implemented independently of discretionary market or security-level judgments. The methodology remains unchanged across different market regimes and full market cycles. The systematic investment line of Accelith comprises Kinetic Progressive and Meridian. The strategies differ in their signal sources, investment focus, and portfolio functions.

Kinetic Progressive

Kinetic Progressive is based on Earnings Revision Momentum and uses changes in earnings expectations as its primary stock selection signal. The strategy incorporates both company-level revisions and the revision dynamics of the respective industry. The combination of company-level and industry-level momentum forms the basis of the stock selection process. The portfolio consists of a fixed number of equally weighted U.S. equities and is rebalanced monthly. Kinetic Progressive is focused on the relative development of earnings expectations within the equity market and therefore functions primarily as a security selection model. More on Kinetic Progressive

Meridian

Meridian is a systematic, rule-based regime rotation strategy. The trend structure of the equity market serves as the signal for determining the prevailing market regime. During an established uptrend, the strategy maintains a growth-oriented equity portfolio. Following a defined deterioration in the trend structure, the portfolio rotates into a diversified defensive allocation comprising equities, short-term government bonds, and gold. The portfolio consists of a limited number of equally weighted, highly liquid ETFs. Meridian is therefore primarily focused on managing overall market and risk exposure. More on Meridian

Complementary Signal Structures

Kinetic Progressive and Meridian draw on different information sources and operate at different levels of the market. Kinetic Progressive addresses the relative development of earnings expectations at the company and industry level. Meridian addresses the broader market structure and prevailing risk regime. The strategies therefore differ not only in their signal construction, but also in their portfolio function: Kinetic Progressive selects within the equity market, while Meridian manages overall risk exposure.

Both strategies are long-only and unleveraged and can be implemented independently.

Strategy Comparison

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