Nerodyne is a systematic equity research firm. We develop rules based strategies, evaluate them across more than a decade of market data, and deliver their output to subscribers.
We present results in full. The performance shown covers every year of the 2012 to present backtest, hedged and unhedged, against the S&P 500, including drawdowns and the weakest periods. We state plainly that these are backtested results with real limitations, supplemented by approximately one year of live operation, and not a live record extending back to 2012.
The strategy logic remains proprietary to Nerodyne. The results, the associated risks, and the method of delivery are disclosed in full.
Nerodyne runs Vortex, a systematic equity strategy that, at each rebalance, pools the holdings of six internal models, keeps only companies whose revenue is growing or stable, and concentrates into the five most mutually distinct businesses. Its backtested annualised return is about +37% versus +14.4% for the S&P 500, with a Sharpe of 1.35 and a worst calendar year of −2.5% (2022) against −18.2% for the index in the same year.
Vortex is offered in three versions: without a hedge; as Vortex Shield, the same portfolio with a permanent put option overlay; or as Diversified Shield, a broader hedged book of 15 or more quality companies that always holds the biggest stock in the world by market value plus a developed-markets dividend-leaders ETF sleeve. The Shield versions accept a lower return in calm periods in exchange for reduced losses in a market decline, and in the two weakest markets of the sample (2020 and 2022) Vortex Shield produced positive returns. The strategy was backtested over 12 years and has since run live for approximately one year. The logic remains proprietary; the results, the risks, and the delivery do not. For those who prefer to develop their own approach, we offer an educational program.
years backtested, plus one year run live
versions of the strategy: pure, hedged and diversified
of the sample disclosed: every year, including drawdowns
You're buying the output of the model, not the model itself, and not personalised advice. The same way a systematic fund keeps its methodology private, ours stays confidential. What you receive is research output you choose to act on, in your own brokerage account.
We aim to align our interests with yours:
We're long the same names you are; the only difference is risk management. A written policy we follow consistently matters more than any single trade.
Nerodyne provides research and educational content only. It is not investment advice, a recommendation, brokerage, or asset management, and nothing here is tailored to your personal circumstances. Investing involves risk, including the possible loss of principal; options can expire worthless. You are responsible for your own decisions and should consider professional advice for your situation.
