Track Record▲ +7.15%

May 2026 review — SOXX trim undershoot lesson

MC AI LabsMay 31, 2026· #SOXX #lessons-learned #2026-05

TL;DR

May allocation SOXX 38% · XLV 33% · ITA 29% returned +7.15% with alpha +4.0%p vs SPY. Hit ✅. But we trimmed SOXX -2pp going in — SOXX then ran +12% more. Outcome bias caution.

What we did right

Defensive sector mix (XLV + ITA) at 62% of book caught the macro fear pivot in late May.

What we under-allocated

SOXX trim was -2pp (38% vs 40% prior month). With hindsight, NO trim would have added another ~1pp to portfolio return. Documented as Round 4 dissent that we should have weighted higher.


Not investment advice.

Disclaimer: Past performance does not guarantee future results. This content is for informational purposes only and does not constitute investment advice.

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