Dynamic Leverage Strategy.
We apply regime-aware leverage to U.S. growth equities — generating incremental long-term returns without amplifying the downside.
Compounded across a 35-year window — 1990–2023 simulated under the same engine, then 2024–present live capital.
Read this first.
This is a leveraged equity strategy. Invest only if you can stomach multi-year drawdowns and significant swings in capital. The returns above are not a smooth line.
Up to ~2× exposure and derivatives. Gains compound faster — so do losses. A bad year for the index can be a much worse year before our hedges engage.
When SPY chops between −10% and +10% for years, the trend filter de-risks and re-leverages on whipsaws. Losses there are the cost of insurance against deep-red years.
Annualised volatility is ~67%. A 1-in-10 year may see a 30–40% intra-year drawdown. Do not invest capital you may need within 3–5 years.
If 89% of hedge funds can’t beat the index, why are you trying?
We’re not trying. We’re compounding — no stock picking, three engineered layers, one mechanical recipe.
Liquid index ETFs across every sector — the market Buffett told you to own.
Up to ~2× on the broad market, regime-modulated. The 7-point spread is the engine.
Option overlays absorb the tails so leverage keeps compounding through every cycle.
Over the long term — the strategy Buffett would have run, if he weren’t allergic to leverage.
Leverage, hedged, compounded.
Five engineered stages. Buy broad-growth ETFs, lever them efficiently, modulate exposure through options instead of selling. Hedges absorb the tails; compounding does the rest.
Pooled into the dynamic leverage book — fully custodied, fully transparent.
Broad growth-based ETFs as the core. Dynamically rebalanced, institutional financing, no daily-reset drag.
We never sell stock. Exposure is modulated through options on trend, volatility and regime — no binary in/out, no forced taxable events.
Spreads, collars and hedged tails provide downside ballast. Capped at 2% of portfolio.
~33% CAGR vs SPY 10% · 27,000× vs SPY 35× · −39% max drawdown vs SPY −36%.
$100k invested, after all fees.
This is the LP’s number — every fee, every fixed cost, every performance crystallisation baked into the line. Move the sliders to set your own capital and entry year.
Profit lives in the spread — seven points, every decade.
S&P 500 since 1975 — through eight bear markets and forty years of policy cycles. Compounded.
Institutional financing on broad-index collateral. Fed funds plus a modest premium. Tax-deductible.
The engine — modulated by regime, sized to capital preservation, hedged at the tails. Structural, not cyclical.
Why not just buy a 2× ETF?
Raw margin is a fuse. Managed margin is a tool. For double the risk, a 2× ETF gives only +3.9 pts/yr — and rides every drawdown to the bottom.
An ETF wrapper compounds fees against you every year. Self-managed margin runs ~0.20% — tax-deductible.
Path-dependent decay — flat markets still lose. Dynamic monthly/quarterly resets keep compounding intact.
A 2× ETF rides every drawdown straight down. Our cross-asset overlay reduces exposure into stress.
Cumulative peak-to-trough loss per crisis. Dot-com & GFC are synthetic backtest; 2022 is actual.
From 10% to 33%.
SPY baseline, plus five structural edges, plus disciplined leverage. Each bar is independent; each compounds into the next — the arithmetic of the strategy, shown explicitly.
Our money rides with yours.
The principal holds 100% of personal capital inside the same strategy you invest in. Same orders, same fills, same fees, same timing.
Your dollars and ours trade the same orders, in the same accounts, on the same fills.
We pay the same management and performance fees we charge investors. No sweetheart rate.
No first-out, no front-run, no separate entry windows. We rebalance with you, not before.
Two edges are pure plumbing.
No market view required — they accrue every day, in every regime.
A flat index can still lose money in a 2× daily ETF. Monthly/quarterly resets, used dynamically, recapture lost CAGR.
Leveraged ETFs pay Fed + 1.5%. Running the book direct, with the margin-interest deduction, flips the cost structure.
Two edges compound silently.
Both are independent of market direction — they accrue every year, forever.
Over 36 years, the gap between short-term and loss-harvested treatment is ~9 pts of CAGR — almost all of it from deferring, not harvesting.
Controlling the downside.
Two edges shape the left tail — one flags when the regime shifts, the other ensures we never need to double just to break even.
Volatility is ~2× higher below the 200-day moving average. Staying invested above it and de-risking below cuts drawdown in half.
Drawdowns are the silent killer of compounding — every percent lost demands more than a percent to recover. We size leverage to the regime and overlay hedges so the strategy never enters the deep-drawdown zone where recovery math turns punishing.
Growth changes every decade. We change with it.
We always seek sustainable growth areas with meaningful impact on the U.S. and global economy. Where the next decade’s growth lives, our exposure follows.
Every layer concentrates in U.S. tech.
Tech tripled — from 10% to 33% of the S&P 500 — in twenty years. AI, compute, software and automation set up another 2×. We own it via QQQ + SMH with trend and volatility filters.
Sources · Bloomberg · Goldman Sachs Research (Jan 2026) · Apollo Chief Economist (Sep 2025) · S&P Global · internal estimate.
We win big in bulls. We bleed in chop, so we don’t blow up.
A leveraged strategy that defends deep red has to give something back. Every cell is one year — strategy return over SPY return.
Up markets, vol earns its keep. Down markets, we win on returns and risk.
Over 36 years the strategy compounded at 32.8% — turning $100 into $2.7M. Lean into leverage when trend is on; let hedges and de-leveraging clip the tail when it isn’t.
Strategy turns SPY’s average bull year into roughly 3× the return — leverage compounding with the trend.
Strategy carries leverage yet gives back only about half of SPY 2×’s loss — landing near unlevered SPY as hedges and de-leveraging clip the tail.
95% systematic. 5% opportunistic.
The first 95% is the engine that did 32.8% CAGR. The remaining 5% sleeve runs alongside, harvesting alpha from situations the systematic engine can’t express — contribution target +2 to +4 pts/yr.
De-SPAC trades, warrant arbitrage, trust-value redemption setups.
Spin-offs, post-bankruptcy equities, index inclusions/exclusions.
Merger arb, closed-end fund discounts, ETF NAV dislocations.
Decay capture on SQQQ / SPXU during stable trending regimes.
Long-vol convexity plays sized to a small bleed budget.
GLD, SLV, Treasuries, FX — tactical positioning, not constant.
Why 5% — small enough that a wipeout in the sleeve doesn’t derail the core; big enough that a few good plays per year move the headline.
You only pay when we beat the market.
A 0.30% fixed fee for operating cost — declining to 0.10% at scale. A 20% performance fee, charged only when the strategy is net positive and beats SPY. In the backtest, charged in 21 of the 36 years — well over half — and never in the rest.
Operating cost — audit, admin, reporting, tax docs. Declines to 0.10% at scale.
Charged only when the strategy is net positive AND beats SPY — 21 of 36 yrs (58%) over the backtest.
Same fee, same strategy, same timing as every investor. No internal sweetheart rate.
Over 36 years · Strategy 32.8% → investor 27.8% CAGR · SPY 10.4% · $100 → $685k investor net (SPY: $3.5k).
We don’t charge for tracking the market.
Classic 2/20 takes 2% no matter what, and 20% of any positive return — even if you trailed SPY. We don’t.
The math, on one page.
We compound 3× SPY’s rate at a drawdown comparable to the index. Sharpe is higher, Calmar is roughly 3×, and post-beta alpha is the structural edge.
Method · Rf 3% · all metrics computed from annual returns 1990–2025 · σ / Sharpe / Sortino from annual σ · beta and alpha from OLS regression · 1990–2023 backtest, 2024–present live.
Subscription terms.
Low minimum, no lockup, monthly liquidity — institutional structure without institutional friction.
Ready to invest?
Six steps from interest to first NAV — most subscriptions complete in about two weeks.
Email Investor Relations with your allocation size and investing entity.
We send your subscription pack — PPM, LPA, agreement, prior statements — within one business day.
Investor profile, KYC / AML, accredited-investor attestation.
Read the documents, sign electronically; we counter-sign.
Custodian-direct wire instructions issued the same day signatures land.
The day your funds settle, the strategy is yours. Performance accrues from day one; monthly NAV statements arrive at month-end.
Honest risk, formal notices.
Not an offer. For informational purposes only. Does not constitute an offer to sell or a solicitation of an offer to buy any security or interest in any fund. Any offer is made only by formal offering documents.
Backtested performance. Returns and CAGR for 1990–2023 are historical simulations; 2024–2025 reflect live trading. Backtested results are prepared with hindsight and have inherent limitations. Past performance is not indicative of future results.
Leverage risk. The strategy employs leverage up to ~2× and uses derivatives for hedging. Leverage magnifies both gains and losses and may result in loss of principal.
Forward-looking statements. Statements about future market conditions, sector leadership and projected returns involve significant risks and uncertainties. Actual events may differ materially.
Tax. Tax treatment depends on individual circumstances and is subject to change. References to tax benefits reflect current U.S. federal tax law and are not personalised tax advice.
Confidentiality. This material is confidential and may not be reproduced, distributed or disclosed without the prior written consent of Leverage Alpha Holdings LLC.