Does subscribers to Designer Models follow the model’s exact holding or its rules?
I ask b/c rules that determine my model’s holdings depend on transaction costs and disfavor turning over illiquid positions and positions that incur capital gains and wash sale taxes. In turn, transaction costs are a function of capital allocated. Thus, two starting points of initial capital and dates could result in different holdings.
I feel these considerations are essential to intelligent capital allocation, so I would prefer that subscribers follow the rules vice the holdings.
Can anyone enlighten me?