top of page



Home ENG
Benefits

Why Cherries?
What Makes Cherries Different
Backtesting

Backtesting
Are Cherries stock portfolios really optimal?
What would have happened if you had bought real estate in San Francisco before the high-tech boom, or if you had bought Google stock the day of its IPO? We may not be able to time travel, but Cherries cutting-edge backtesting feature will at least let you check whether portfolios that Cherries would have built in the past, would have stayed optimal to this day. You can even check them against a range of benchmarks in the period you are testing. Learn more below.
-
Are Cherries portfolios really optimal?Cherries helps build optimized portfolios for any past date and compare the results with major financial benchmarks. For example, check out the optimal portfolio that Cherries would have built on April 1st, 2017, for your particular investment size and risk appetite. You will be able to see what its yield would have been today and compare it to economic markers.
-
Will a Cherries portfolio be the optimal one under any circumstance?Short answer: no. Long answer: the Cherries model can’t guarantee that its portfolios will beat every benchmark in any time period. However, in periods longer than 3-6 months and depending on the investment volume, Cherries portfolios will probably produce good, and even very good, results.
-
How is the information presented for comparison?The Cherries platform has data starting a year and a half ago. You can build a portfolio that “started” on any date since, and see how it would have done in any period, up to today. The results will be displayed in a table or graph.
-
How can you be sure the portfolios aren’t prepared in advance so as to always prove Cherries right? After all, past prices are public."Because there are so many stocks, thousands of trading days, and billions of combinations, we couldn’t cook up portfolios in advance even if we wanted to. We believe in the efficacy of Cherries’ scientific model and so the backtesting retroactive simulation feature is completely independent. We are aware that in some cases the portfolios will not be the best possible option, but they will stand up respectably against economic benchmarks.
bottom of page