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First-to-Last Day of Month on CLSE

Convergence Long/Short Equity ETF — an active long/short US equity portfolio. Backtest 2021-01-04 → 2026-07-17, $10,000 starting capital, computed by the same engine that runs live DeployQuant strategies.

Result: monthly cycle on CLSE turned $10,000 into $20,379 (103.8% total, 17.6% CAGR) — it trailed buy-and-hold by 2.5% per year, with a maximum drawdown of 17.4% (buy-and-hold: 16.1%).
17.6%CAGR
20.1%buy & hold CAGR
−17.4%max drawdown
1.28Sharpe ratio
54round trips
61%win rate
monthly cycle   buy & hold — $10,000 invested 2021-01-04

Year by year

Yearmonthly cyclebuy & hold
2022−4.4%−3.6%
202312.2%17.5%
202434.1%34.7%
202519.7%20.2%
202619.5%22.9%

The rules

Buy the first session of each month, sell the last — a pure calendar-seasonality test.

  1. WHEN the first session of the month opens · IF not invested · THEN buy with 98% of the sleeve (once per month)
  2. WHEN the last session of the month opens · IF invested · THEN sell the whole position

No indicators at all: this template is a clean experiment on the turn-of-the-month effect, holding only from each month's first open to its last. Whatever it earns or loses is attributable to calendar seasonality alone, which makes it one of the most instructive templates to compare against buy-and-hold on the same page.

Good for: understanding how much of an asset's return accrues inside the month versus across month boundaries.
Watch out: this is a research template more than an edge: it holds ~95% of all sessions, so results usually shadow buy-and-hold minus the boundary days.

Run monthly cycle on CLSE yourself — free →

Build it from blocks (or type it in English), backtest it on 5.5 years of minute data in seconds, tweak any parameter, then paper trade it on live data. No card, no broker needed to start.

Frequently asked questions

Did monthly cycle beat buy-and-hold on CLSE?

Over 2021-01-04–2026-07-17, monthly cycle on CLSE returned 17.6% annualized vs 20.1% for buy-and-hold — it trailed buy-and-hold by 2.5% per year, with a maximum drawdown of 17.4% (buy-and-hold: 16.1%).

How many trades did it make?

54 completed round trips over 5.5 years (108 fills), with 61% of round trips closing profitably.

Is the turn-of-the-month effect real?

It has appeared in long historical studies, but it's regime-dependent and small. These pages let you check the recent five and a half years per ETF instead of trusting a decades-old average.

Related

First-to-Last Day of Month — all 59 ETFsfull results table All strategies on CLSE12 templates compared RSI(14) Mean Reversion on CLSEsame ETF, different rulesRSI(2) Dip Snapback on CLSEsame ETF, different rules

Backtests are hypothetical, computed by DeployQuant's engine on minute-resolution consolidated US market data (2021-01-04 to 2026-07-17, $10,000 starting capital, no margin, fees and slippage not modeled) and do not guarantee future results. Nothing on this page is investment advice. Live trading involves risk of loss.