SignalIndices

Methodology · Rebalancing & risk

Constraints, rebalancing and risk.

Constraints shape what each index can do. Here is how they work, and the risks that remain.

01 — Rebalancing rules

When weights reset.

Rebalancing follows each index’s published rules. The two flagship indices may follow different schedules.

Rebalancing frequency
To be published
Rebalancing triggers
To be published
Implementation timing
To be published
Holiday and market-disruption handling
To be published

02 — Exposure constraints

Defined limits.

Minimum target

20%

Maximum target

100%

Leverage

None (maximum target is 100%)

Applies to Signal Bitcoin Active and Signal Ethereum Active.

03 — Turnover

The cost of adapting.

Every change in exposure creates turnover. Products that track an index may face trading costs and slippage that the index level does not show. Turnover figures will be published alongside validated data.

04 — Risks

What to consider.

  • Strategy riskSystematic rules may misclassify market regimes, lag turning points or whipsaw.
  • Minimum exposureThe flagship indices always hold at least 20% of their digital asset, so they stay exposed to declines.
  • Opportunity costReduced exposure can underperform buy-and-hold during sustained rallies.
  • Data riskErrors, outages or gaps in pricing data can affect signals and calculations.
  • Operational riskCalculation, dissemination and process errors are possible despite controls.
  • Digital-asset riskExtreme volatility, plus regulatory, technological, liquidity and custody risks.

05 — Measurement

How risk will be reported.

Live

Calculated after the official launch date, in real time.

Status: no data published

Backtested

Simulated by applying the methodology to historical data before launch.

Status: no data published

Hypothetical

Illustrative scenarios used for education only.

Status: no data published

Index vs. benchmark performance

Awaiting validated data

Maximum drawdown

Awaiting validated data

Annualized volatility

Awaiting validated data

Sharpe ratio

Awaiting validated data

Exposure through time

Awaiting validated data

Turnover

Awaiting validated data

Bullish regime duration

Awaiting validated data

Defensive regime duration

Awaiting validated data

Backtest disclosure standard

Any future backtest will disclose:

  • Testing period
  • Methodology version
  • Benchmark used
  • Fee assumptions
  • Slippage assumptions
  • Data sources and limitations
  • Other material assumptions
  • Clear separation from live results
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