Momentum Meets Machine : Machine Learning Enhanced CSMA

• Are you a well capitalised trader that focuses on medium hold index based portfolios? 

• Do you manage a family office, or a hedge fund?

• Do you use momentum strategies?  

• Are you interested in higher returns, while lowering churn, transaction costs and time spend?

Transform Your Investment Strategy with Momentus! Our AI-Powered Predictive Analytics!

Achieve Consistent Growth and Minimize Risk with Momentus by Arcanero!

At Arcanero, we harness the analytical power of Machine Learning (ML) to unlock profitable opportunities and navigate financial market anomalies with precision. 

Our advanced predictive analytics empower you to make informed decisions, reduce transaction costs, and secure higher, more consistent returns—while increasing the security of your investments.

The Momentus Difference

Our flagship offering, Momentus, applies multifactorial ML-enhanced analytics to the Cross-Sectional Momentum Anomaly (CSMA) space. This powerful combination provides you with the tools to confidently outperform the market and seize opportunities others might miss.

[Click here read our Q&A about CSMA as a strategy, how we apply Machine Learning to enhance the CSMA approach and deliver higher returns.

Safer Investments with focus on Indexes

Investing in index funds is widely regarded as one of the safest ways to grow your portfolio. Unlike purchasing individual stocks, which can expose you to higher volatility and specific company risks, index investments spread your exposure across a broad spectrum of securities. This diversification reduces the impact of any single company’s poor performance, offering more stable returns and lowering overall risk.

At Arcanero, we take this inherent safety to the next level with Momentus by applying our proprietary ML-driven momentum signals to indexes like the S&P 500, NASDAQ 100, ASX 200, TSX Composite, and the Nikkei225 with more being added regularly. 

Why Momentus?

While many AI-driven financial services target short-term, high-volatility trading, Momentus stands apart. We focus on long-term portfolio strategies for clients like financial advisors, hedge funds, retirement fund managers, and family offices. 

Our signal delivers consistent, predictable growth by producing a refined Cross Sectional Momentum portfolio on popular and stable indices.  

While index funds are already a safer bet, our approach allows you to exploit market anomalies within these indexes for even higher returns and lower transaction costs / churn—without exposing you to the risks that come with selecting individual stocks. 

Momentus identifies the bull and bear traps, within the mometum spread and filters these companies out, while also helping you avoid the risks of market regime changes, unexpected inversions,  rare ‘black swan’ events.   This means your portfolios don't fall off the cliff with the herd! 

Momentus also helps our clients:  

- lower the time spent on monitoring portfolios and rebalancing them constantly for the duration while its open; 

- free up expensive quant traders to leverage other approaches;

- lower churn;

- cut down transaction costs, and; 

- reduce capital gains that occur due to the buying and selling of shares to stay ahead of the market.. 

How do we do this?  

Our proprietary Machine Learning algorithms continuously monitor multiple market indicators to detect early signals of market regime changes, sudden inversions, or downside risks. This means that Momentus not only helps you capitalize on profitable opportunities but also actively works to minimize risks during volatile periods.

For example, during unexpected market events—like global economic shocks or rare ‘black swan’ events—our momentum signals are designed to adjust quickly, also issuing early warnings on stocks that show they will turn into traps, helping you avoid heavy losses and maintain investment security. 

This dynamic approach gives you a significant advantage over traditional investment strategies and even over standard index investing by identifying opportunities and risks in real-time.

Our Unique Approach: ML-Driven Alpha

Backed by over 6 years of peer-reviewed PhD research, our AI-driven advisory service is designed to help you optimize returns over the long term. Momentus provides long/short trading signals for medium hold portfolios such as 3/6/12 month holds, based on predictive analytics that outperforms traditional approaches across major financial indices such as the S&P 500, NASDAQ 100, ASX 200, and TSX Composite—with more markets being added regularly.

Our proprietary machine-learning algorithms have been rigorously developed and tested, ensuring you receive accurate, actionable momentum signals. This gives you the edge in capitalizing on both positive and negative market trends, driving higher profits and lower transaction costs—while maintaining greater investment security.

Real Results: TSX Composite Case Study

At an industry event in Toronto Canada, we showcased how our ML-enhanced momentum signals performed against the TSX Composite 100 and standard momentum investing strategies. The results were clear:

• The blue line represents the TSX Composite average.

• The black line indicates standard momentum investing.

• The green line shows our Momentus portfolio, outperforming both with higher returns and less risk.

By refining the CSMA approach through Machine Learning, we delivered superior profitability, reduced losses, and minimized transaction costs—all while maintaining the safety of investing in broad market indexes.

Want to see how we performed on the S&P 500 the NASDAQ 100, or the ASX200? Contact us today for a personalized analysis and a more detailed discussion on how Momentus can transform your investment strategy.

Tailored for Sophisticated and High Net Worth Long-Term Investors

Whether you’re managing a hedge fund, mutual fund, or family office, Momentus offers you a safer, smarter way to achieve consistent growth in today’s complex markets:

• Hedge Fund Managers: Maximize returns with long/short trading strategies driven by market regime detection.

• Mutual Fund Advisors: Protect client assets from sudden market shifts with accurate, data-driven signals.
• Retirement Fund Advisors: Protect portfolio returns from sudden market shifts with accurate, data-driven signals. 

• Multi-generational Wealth and Family Offices: Secure generational wealth with strategies that prioritize stability and minimize downside risks.

Imagine securing long-term profits with lower transaction costs, fewer surprises, and reliable returns.

Ready to Take Your Portfolios and returns to the Next Level?

We invite you to experience the full power of Momentus:

• Get in touch with one of our experts for a personalized consultation.

Don’t miss the opportunity to secure higher, more predictable returns for your portfolio with 

Momentus by Arcanero!