Alpha System Trading Performance
US Stock Market: +0.92%
Korean Stock Market: -6.18%
Period: Close on May 29, 2026 ~ Close on Jun 26, 2026
The US-Iran conflict, which was the biggest variable shaking the market, is gradually calming down.
Negative news related to the conflict is decreasing, and oil prices are stabilizing as well.
U.S. Stock Market
Benchmark Index: -1.22%
Alpha System Trading: +0.92%
There were large losses from sharp declines at the beginning and end of the month, but true to the Brawler Strategy – which steadily accumulates profit through back-and-forth trading – the month still closed in positive territory.
It feels like walking through a minefield. By now I should be used to watching well-built profits disappear in an instant, but it’s always disappointing.
Korean Stock Market
KOSDAQ 150: -18.19% / KOSPI 200: +1.76%
Benchmark Index (KOSDAQ150 + KOSPI200): -8.22%
Alpha System Trading: -6.18%
In June, the same flow continued: selling KOSDAQ, buying Samsung Electronics and SK Hynix.
I believe fatigue is building up after the sharp rally, but the power of large capital turned out to be stronger than expected, continuing to push prices higher.
Since Trump’s policies and statements are favorable only to the US market, the Korean market is directly and immediately affected by news released after the US market closes.
Alpha System Trading recorded a large loss from one sharp decline, and was unable to enter during the several strong rallies that followed.
Systematic traders need to accept this, but the disappointment doesn’t fade away so quickly..
Logic Changes for July
There is almost no change in the Brawler Strategy compared to last month.
The Trend-Following Strategy applied a revised logic starting this month, which significantly reduced the number of trades.
The allocated capital is very small, but fortunately it still closed with a profit.
Korean Stock Weighting Revision
The biggest change next month will be adjusting the per-ticker investment weighting for Korean stocks.
Until now, different weightings have been applied by ticker for US stocks, but for Korean stocks, the same equal weighting has been used for about 5 years.
While re-analyzing past trading data this time, I confirmed that a certain group of tickers had been consistently lowering overall returns over a long period.
In particular, when I reviewed the two periods 2021–2023 and 2023 to recently, the same group of tickers was hurting performance in both periods, and the effect was even more pronounced in the more recent period.
I had assumed that each ticker group would offset the others’ weaknesses and help the account grow stably as a whole. But this long-held assumption turned out to be a constraint that was actually holding back returns.
It was a somewhat disappointing decision to make personally, but I’m glad I was able to correct it before it was too late.
Alpha System Trading Strategies
We run two main systems:
1. Brawler Strategy is not designed to chase one big win.
The size of wins and losses is similar, but by increasing the number of trades that close as profits, it grows the account over the long term.
In other words, it is a strategy built on the Law of Large Numbers, steadily accumulating an edge over time.
2. Trend-Following Strategy captures and trades short-term trends that form over brief periods.
It shows a high win rate in backtests, but it hasn’t yet delivered the results expected in live trading.
For now, it is being run with a small amount of capital to accumulate live trading data and continue improving.
[Past Reports]
Monthly Fund Report January 2026
Monthly Fund Report February 2026
Monthly Fund Report March 2026 – Brawler’s Grit in the Fog of War
April 2026 Market Wrap-Up: Risk and Bull Market Living Together
Monthly Fund Report May 2026 : Risk and Bull Market Living Together
View All Monthly Reports
