Prometheus S&P 500 Program

Caution Continues

The Prometheus S&P 500 Program aims to outperform the S&P 500 over a full investment cycle. The program will aim to achieve this objective by leveraging a combination of Sector Selection, Beta Timing, Active Overlays, and Dynamic Risk Control.

You can read the 27-page primer detailing the mechanics of our approach below:

We started Prometheus with a simple premise: bring the highest quality of institutional-grade macro investment research to everyday investors. Today, we are taking another big step in this direction with the official launch of our systematic Prometheus S&P 500 Program.

For reference, we visualize the simulated path of the program below:

Today, this program continues to control the equity market drawdown using risk control measures. While the S&P 500 experienced a drawdown of 20% during the 2025 correction, the Prometheus S&P 500 Program never exceeded a 10% drawdown. Further, the program has maintained upside capture while maintaining these improved drawdown characteristics. This is consistent with the portfolio’s objectives, i.e., maintaining upside exposure to equities while reducing or avoiding drawdowns.

In our last note, we flagged headwinds for US equity exposures. These programmatic views did not bear fruit. Nonetheless, these headwinds remain in place, causing our beta timing measures to stay cautious on US equities.

Today, the portfolio is positioned as follows: