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Portfolios / TMRS-X(S)
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Momentum · Sharia-screened
TMRS-X(S)
by Trado Quant VERIFIED
CAGR since 2020
YTD
Sharpe ratio
Max drawdown
Overview
Holdings
Methodology
History
Portfolio Return
Since inception
vs SPY: ·
YTD
1Y
3Y
All
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TMRS-X(S)
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Sector Breakdown · Current Holdings
About this portfolio

TMRS-X(S) ranks an AAOIFI-screened universe of ~74 US large-caps by 6-month price momentum, keeps only names trading above their 200-day moving average, and holds the top 10 at equal weight. It rebalances on the first business day of each month.


The SMA200 filter is what separates it from a pure momentum sleeve: when a name breaks trend it becomes ineligible, so the book rotates to cash-equivalent alternatives rather than riding a drawdown down. That mechanism is why 2022 cost only −1.5% while SPY lost 18.2%.

How picks are generated
1
Screen the universe. Start from ~74 US large-caps that pass strict AAOIFI screening — sector exclusions plus debt, cash and interest-income ratio limits.
2
Apply the trend filter. Drop any name trading below its 200-day moving average. In a broad downtrend this shrinks the eligible set sharply, which is the intended defensive behaviour.
3
Rank by 6-month momentum. Sort survivors by trailing 126-day return and take the top 10.
4
Equal-weight, monthly. Each position gets 10%. Positions are held until they fall out of the top 10 or break trend — average hold is roughly four months.
Current Holdings
#StockSectorEntry HeldReturn New-entry
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Reading the new-entry column. Existing holders follow the monthly rebalance. The badge is for money entering today, where the relevant question is how far a name has already run: BUY = enter at full 10% weight · DCA = split entry across two rebalances · WAIT = held over 200 days and up more than 200%, where the risk of mean reversion for a fresh entry is elevated. This is portfolio mechanics, not individual advice.
Overview

TMRS-X(S) is a systematic, rules-based long-only momentum strategy on a Sharia-screened US large-cap universe. There are no discretionary overrides and no fitted parameters — the three inputs (126-day momentum, 200-day trend filter, top-10 equal weight) are the canonical values from the momentum literature, not the output of a parameter search.

Strategy Parameters
Walk-Forward Validation
PeriodCAGRMax DDSharpe
Why this table matters. Parameters were fixed on the in-sample window, then the strategy ran untouched across 5.4 years of out-of-sample data — including the 2022 bear market. The edge degrades from IS to OOS, which is normal and expected; what matters is that it survives in every sub-period rather than collapsing. A backtest without this split proves nothing.
Known Limitations
1
Survivorship bias. The universe consists of names still liquid in 2026; companies that delisted or were acquired are absent. This inflates historical returns. The de-biased forward expectation is 22–28% CAGR, not the headline figure.
2
Start-date sensitivity. Inception is 2 March 2020, one day after the COVID bottom. A different start date produces materially different compounding.
3
Sector concentration is unconstrained. Momentum ranking regularly produces a book dominated by one sector. There is no cap, so a sector-level shock hits most positions simultaneously.
4
High volatility. Annualised volatility runs well above SPY, and single-month losses above 20% have occurred. This is not a low-risk allocation.
5
Transaction costs modelled at 10bps. Realistic all-in costs including slippage are closer to 20–25bps, which reduces net return further.
Sharia Screening

The universe is filtered on AAOIFI standards: sector exclusions covering conventional finance, alcohol, tobacco, gambling, adult content, pork and weapons; plus financial ratio limits on debt to assets, cash and interest-bearing securities to assets, and interest income to revenue.

Screening is applied per quarter from filings rather than from a single current list, so a name that loses compliance mid-period becomes ineligible at the next rebalance.

Annual Performance vs SPY
YearStrategySPYAlpha
Monthly Returns · Last 24 Months
Portfolios 13F Conviction
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