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Sector Alpha

The sector-allocation layer of the Advising Alpha methodology, executed in the eleven SPDR sector ETFs at the same weights as Core 20. No individual stock selection.

Holdings auto-derive from Core 20’s current sector posture. When Core 20 rebalances, Sector Alpha updates the same day. Same quarterly cadence (the 20th to 25th of February, May, August, and November), same 13F-anchored discipline, simpler to operate.

The research behind this strategy

Why we publish Sector Alpha free.

We took 25 years of Core 20’s history and decomposed every percentage point of outperformance into two layers: sector tilts and stock selection. The finding: Core 20’s sector tilts alone beat the S&P 500 by 355 percentage points over 25 years. Stock selection on top added another 1,544.

Sector Alpha is the first layer, free. The Pro tier is the stock-selection magnifier on top. The full empirical argument is in the research paper.

Rebalance Schedule

Coming Soon
Last: Feb 18, 2026(79d ago)
Next: May 20–25, 2026(12d)

Sector Alpha rebalances four times a year, on the 20th to 25th of February, May, August, and November — anchored to the SEC 13F filing cycle so we can act on the latest institutional disclosures. Pro members get the trade list by email the moment we publish.

Sector Posture

Core 20vs S&P 500

Core 20
Offense 60%
Def 20%
Ind 20%
100%
S&P 500
Offense 63%
Def 21%
Ind 16%
100%
Offense -3.0pp
Defense -1.0pp
Independents +4.0pp
independent-sector tilt — overweight Energy, Materials, Communication.

Sector weights as of 2026-05-04. Posture is one of several lenses we use to read a portfolio — never used in isolation.

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Stock selection compounds the same dollars another 7×.

Sector Alpha captures the sector-allocation layer of the Advising Alpha methodology. Pro adds the stock-selection layer that magnifies the same starting capital. Across 25 years of Core 20 history, Sector Alpha’s sector mirror compounded $10,000 into roughly $89,000. Core 20’s actual stock picks compounded the same $10,000 into roughly $264,000.

Pro membership unlocks every holding in Core 20, Market Masters, Tepper Tactical, and BioTech 10. Plus the Pro Weekly Brief, Stock Normality Indicator on every position, member-tier commentary, and rebalance trade alerts the day each portfolio rebalances.