Looking for capital partner / buying power

[clavell]

So if I'm reading this correctly, your strategy is good for 1%.

The 8-14% is based upon the annual return of the S&P and not from your strategy?
So if the S&P is down 8% next year, your return will be -7% ?

Am I reading this correctly?

Not exactly.

the main strategy that I discussed in original post yields 8-14%.

the 2nd (flavor) - using the same edge from where the main strategy comes from - can be used to spike up a return of S&P by ~1%. I used that to illustrate that the edge is not correlated with S&P.

 

[wisentgenus]

What is the leverage #?
What is return % range if it used without margin (just initial margin requirements)?
Which leg is shorted most often?

 

[traider]

Not exactly.

the main strategy that I discussed in original post yields 8-14%.

the 2nd (flavor) - using the same edge from where the main strategy comes from - can be used to spike up a return of S&P by ~1%. I used that to illustrate that the edge is not correlated with S&P.

What happens when the pair tears? Do you double down?