How to Use the Rebalancing Application

The Analytical Platform has a unique feature called “rebalancing application”. This feature facilitates the implementation of the S&P 100 Balanced Strategy. Without it, you would have to do all the stock trading manually. Right now, the application only works with one investing strategy, but you will soon be able to use it for the many different strategies we are currently preparing.

It is important to note that the S&P 100 Balanced Strategy should be applied at Interactive Brokers. Implementing this strategy using a different broker would result in excessive fees, lowering your overall returns significantly. For this reason, the rebalancing application is set up to only work with this specific broker right now.

The application creates two output files according to your initial investment and your current portfolio if you have one. One of them is a CSV file that contains instructions for the Trader Workstation to realize all the orders. It is used for creating a new portfolio or rebalancing the current one. The other file you get from the rebalancing application is a PDF file containing all the stocks that form the strategy. Apart from showing you the stocks that form your portfolio, the PDF file is used to verify your orders in Trader Workstation.

By following these steps, you will learn how to use this application in no time.

1. Login to your Analytical Platform account and choose the report according to which you want to invest. Typically, it is the “Latest” available report. If you do not have an Analytical Platform account yet, check out our guide on how to register. Select the magnifier icon to get into the reports detail section.

2. To access the rebalancing application, select the “Rebalance report” button.

3. Enter the amount you want to invest in the “Initial capital” column. Make sure you enter the amount in USD or the equivalent value of your currency in USD. The “Calculated Short” and “Calculated Long” fields tell you how much capital will be allocated to each of your short and long positions, respectively. Make sure to leave the “Automatically mark this report as favourite” box ticked before selecting the “Next” button.

4. Subsequent step varies for new investors and those already using S&P 100 Balanced Strategy and rebalancing their portfolio.

• You can skip this step by selecting the “Skip” button if you invest in the S&P 100 Balanced Strategy for the first time. 

• If you already are an S&P 100 Balanced Strategy investor, you need to download the “Realized Summary” report in PDF format from your Interactive Brokers account and upload it here.

5. Download both the CSV and PDF files by selecting the “Download in csv” and “Download in pdf” buttons.

And that is all you need to know to be able to use the application. Now you are ready to upload the downloaded CSV file with all the orders in Trader Workstation.