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SnowballHare Stanley Druckenmiller-Inspired Macro Conviction Score

A research-prioritization model for testing whether thesis, market evidence, expression, and risk align.

Scoring inputs

InputWeightWhat to test
Macro regime15%Growth, inflation, policy, fiscal impulse, and expectations
Liquidity15%Real yields, curve, spreads, lending, dollar, and funding
Leadership confirmation15%Trend, breadth, relative strength, and positioning
Earnings confirmation15%Revenue, margin, orders, and estimate revisions
Cross-asset confirmation10%Rates, FX, commodities, credit, equities, and volatility
Asymmetry15%Bull, Base, Bear outcomes and embedded expectations
Risk limit10%Invalidation, liquidity, gap, correlation, and leverage
Update speed5%Decision log, new evidence, and disciplined reversal

Score bands

  • 85–100 — Conviction candidate: thesis, confirmation, expression, and loss control align.
  • 70–84 — Probe only: use a small position while one major variable develops.
  • 50–69 — Watchlist: macro idea is plausible but timing or expression is weak.
  • 0–49 — Reject: confirmation, asymmetry, or risk control is insufficient.

Action matrix

Macro + earnings + price alignResearch a scalable position from the invalidation loss.
Macro aligns, price divergesWait or use a small probe; timing may be wrong.
Price leads, earnings lagTrack revisions and distinguish anticipation from pure momentum.
Thesis works, expression lagsCompare instruments and aggregate hidden theme exposure.

Worked example

Disinflation and lower real yields support an AI infrastructure thesis. Leadership and earnings revisions confirm demand, but credit spreads widen and the selected stock requires flawless capital spending. The model reduces cross-asset and asymmetry scores, favoring a smaller probe, a cleaner supplier, or no trade.

Hard invalidation rules

  • The growth-inflation regime changes materially.
  • Liquidity and financial conditions contradict the thesis.
  • Cross-asset or earnings confirmation breaks.
  • The chosen security stops being the cleanest expression.
  • Bear-case loss exceeds the portfolio risk budget.
  • Liquidity, correlation, or leverage makes planned exit unrealistic.