AI HEDGE
Verified sample reproductionLive proxy kept separate

NSE theme rotation,supported by sample evidence,tempered by real caveats.

Data-backed, momentum-driven, but risk-aware. The primary evidence on this page is the verified 10-theme sample reproduction. The live proxy monitor sits below as a separate diagnostics lane and does not stand in for full 127-theme verification.

Verdict

Research only

Sample edge

+26.48% CAGR

Live proxy edge

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Data coverage

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Sample CAGR

39.85%

10 NSE themes reproduction

Edge vs Benchmark

26.48%

vs Nifty 500

Net Cost Case

31.43%

High-friction sample

Win Rate

52.33%

1160 completed trades

Performance At A Glance

Chart moved into first viewport

Strategy beats benchmark by +26.48% CAGR in the verified sample.

Truth Boundary

Primary evidence

Nov 26, 2018 to May 11, 2026 across 367 weekly rebalances.

Verified sample uses 10 NSE themes, not the full 127-theme universe.

Exact full-universe verification was not possible without the complete historical constituent map.

Source Coverage

Backend proxy diagnostics

Loading backend source coverage.

Benchmark: Loading.

Missing or stale source detail should stay visible because it can change trade eligibility and results.

Main Caveat

Implementation risk

Fixed 5% sizing for new entries can accidentally create hidden leverage if surviving holdings are not rebalanced and exit cash is insufficient. The engine must cap fresh buys by real free cash, not by target weights alone.

Strategy Explainer

Weekly theme momentum first, stock selection second.

The logic is simple enough for investors to follow, but strict enough that implementation details matter. The key failure mode is not the ranking formula. It is getting sizing and exits wrong.

1

Build theme baskets

Normalize constituent stocks from first available date and equal-weight them into a basket series.

2

Rank 9-week excess ROC

Compute 45-trading-day basket ROC, then subtract Nifty 500 ROC over the same window.

3

Select top 5 themes

Keep only the five strongest themes each weekly rebalance cycle.

4

Pick top 4 stocks per theme

Inside each selected theme, rank valid stocks by 1-month return and keep the four leaders.

5

Target 5% per new stock

Each fresh entry aims for 5% of current portfolio value, long-only, cash allowed, no shorting.

6

Exit full theme on dropout

If a theme falls out of the top five, sell all positions from that theme at the next rebalance.

7

Hold survivors unchanged

Themes that stay in the top five are not rebalanced internally unless an exit rule forces a sale.

Cash-Safe Sizing

Correct portfolio behavior

New 5% positions should only be funded from actual free cash created by exits or residual cash already sitting in the portfolio.

If fewer than four valid stocks exist inside a theme, or cash is not sufficient, the remainder stays in cash.

That preserves the long-only design instead of silently creeping above available capital.

Not Yet Proven

What this page does not claim

The strategy appears directionally valid.

The verified sample supports a real momentum edge.

The exact headline claim is still not fully verified.

Verified Sample Performance

This is the primary evidence lane.

The section below uses the verified sample reproduction numbers you supplied. Where the full weekly path was not available, the chart is explicitly labelled as an illustrative cumulative path inferred from listed yearly returns.

Illustrative Equity Growth

Inferred from listed yearly returns, not an exact weekly curve

Exact sample final values are shown in the stat cards and table. This chart is an illustrative cumulative path inferred from listed annual returns because the full weekly equity series was not provided.

CAGR Comparison

Verified sample vs benchmark

Final value

Rs 1.22Cr

Benchmark value

Rs 25.5L

Profit factor

2.215

Win rate

52.33%

Avg hold

45.79d

Rebalances

367

Best rebalance

+10.59%

Worst rebalance

-17.10%

Year-by-Year Returns

Verified sample reproduction

Annual Excess Edge

Verified sample minus benchmark

2018partial
-0.10%
2019
-0.71%
2020
+10.84%
2021
+48.20%
2022
+39.39%
2023
+70.57%
2024
+36.28%
2025
-2.29%
2026partial
+6.38%

Costs And Realism

Net returns matter more than gross storytelling.

The verified sample still looks attractive after reasonable friction assumptions. The live proxy monitor is shown separately because its current cost-adjusted read is materially weaker.

Verified Sample After Costs

Primary evidence for net expectations

Gross sample: No transaction costs modelled

Low-friction case: Brokerage and lower impact assumptions

High-friction case: Higher slippage and trading frictions

Current Live Proxy Read

Secondary diagnostics lane

Live proxy unavailable

The investor page still renders the verified sample evidence, but live proxy diagnostics could not be loaded right now.

Where Costs Bite

Real-world drag sources

Brokerage and exchange fees stack up because the sleeve can refresh weekly.

STT matters more when a dropped theme forces full sleeve exits, not just trims.

Impact cost can dominate modelled friction once leadership narrows into thinner names.

Why It May Work

Theme momentum can capture clustering that stock momentum alone may miss.

This section remains deliberately conceptual. It explains why the signal could work, while the performance claims stay anchored to explicitly labelled evidence sections above.

Theme persistence

Narrative-led capital often moves in clusters, so sector or theme leadership can persist longer than single-stock leadership.

Relative strength clustering

Multiple leaders inside one basket can confirm that the move is broad, not just one idiosyncratic stock.

Leadership rotation

A weekly process can keep capital pointed toward fresh winners while cutting buckets that stop leading.

Sample support in key years

The verified sample was strongest in 2020, 2021, 2023, and 2024, which is directionally consistent with narrative-led market leadership.

Live Proxy Monitor

Useful diagnostics, not the headline proof.

This lane is intentionally narrower and more cautious. It shows what the current proxy engine is doing today, while also making its benchmark mismatch, shorter history, and smaller universe impossible to miss.

What The Live Proxy Still Cannot Prove

Diagnostics lane

Live proxy diagnostics are unavailable right now, so the verified sample remains the only evidence lane rendered.

Live Proxy Snapshot

Live payload unavailable

Benchmark

Unavailable

Universe

Unavailable

Cash

Rs 0

Net liquidation value

Rs 0

Current Bucket Rank Table

Audit view of active proxy sleeves

No active proxy buckets

The live proxy payload currently has no active sleeves. That usually means the smaller proxy universe did not produce qualifying current leaders under its weekly rules.

Holdings

0 positions | 0.0% exposure | 0.0% cash

Total exposure

Rs 0

Cash

Rs 0

Sort

WEIGHT

No live holdings

Live proxy diagnostics are still loading.

Latest Rebalance Actions

Why the engine bought, held, skipped, or exited

No fresh action log

Latest weekly action log is still loading.

Recent Proxy Trade Log

Auditability from the backend trade history

No recent trade records

Backtest trade history was not available from the live proxy backend, so this audit table cannot yet show recent closed trades.

Risks And Biases

Trust comes from showing where the strategy breaks.

This section now includes the missing capacity surface. It separates conceptual bias risks from implementation-level scaling constraints that show up even in proxy tests.

Survivorship bias

Modern listed survivors can make old theme baskets look cleaner than they really were if delisted or broken names are absent.

Theme-definition look-ahead

Applying today’s theme taxonomy to 2018 history can leak future knowledge into old classifications.

Liquidity and slippage

Small and midcap theme leaders can be hard to scale, so paper returns can degrade sharply once position sizes matter.

Hidden leverage bug

If survivors are held unchanged while new entries are forced to 5% without enough exit cash, gross exposure can creep above 100%.

Regime dependence

Momentum can struggle in whipsaw, mean-reverting, or event-driven periods even when long-run results look attractive.

Capacity Illustration

Proxy sweep with ADV 2% deployability cap

Portfolio sizeProxy CAGRLiquidity skipsInterpretation
Rs 10L31.02%0No deployability stress in the proxy ADV 2% illustration.
Rs 1Cr30.92%13Capacity stress starts to appear even before multi-crore sizing.
Rs 5Cr25.98%59Return compression becomes visible as more names fail the deployability cap.

Why This Matters

Scaling is not linear

Backtests can look clean at Rs 10L and degrade meaningfully by low-crore capital once more entries fail investability checks.

That means the right question is not only “does it work?” but also “at what size does it stop working as modelled?”

The page now states that openly instead of implying frictionless scalability.

Claimed Vs Verified

Three separate lanes, not one blurred story.

The table below separates user-claimed results, verified sample reproduction, and the live proxy monitor. That prevents the live proxy or the sample reproduction from quietly impersonating the full 127-theme claim.

Comparison Table

Claimed headline vs verified sample vs live proxy

MetricClaimed by userVerified sampleLive proxy monitor
PeriodNov 26, 2018 to May 15, 2026Nov 26, 2018 to May 11, 2026Unavailable
Universe scope127 themes claimed10 NSE themes sampleUnavailable
BenchmarkNifty 500Nifty 500Unavailable
Final valueRs 2,22,74,731Rs 1,21,89,048
CAGR51.50%39.85%
Trades1,5971,160
Win rate50.00%52.33%
Profit factor1.7502.215

Why Exact Replication Is Pending

Main data gap

Exact full-universe verification was not possible without the complete 127-theme historical constituent map. That is why this page now treats the sample reproduction as primary evidence and the live proxy feed as diagnostics rather than pretending a proxy sector map solves the historical data problem.

User-Claimed Headline

Secondary until full-universe rebuild exists

Final value

Rs 2.23Cr

Claimed CAGR

51.50%

Trades

1,597

Profit factor

1.75x

Investor Takeaway

Promising, but not yet institutional-grade proven.

The page now tells the story in the right order: verified sample reproduction first, live proxy diagnostics second, user-claimed headline third. That makes the theme rotation thesis easier to trust, because the analysis no longer hides benchmark mismatches, short proxy history, empty live states, or scaling constraints.

What sample evidence says

The verified sample supports a real momentum edge and justifies deeper research.

What still needed

Full 127-theme historical reconstruction, benchmark alignment, deeper liquidity constraints, and a fully auditable constituent map.

Educational backtest analysis onlyNot investment adviceVerified sample primary, proxy monitor secondary