BackAlpha Blog

Explore strategy insights, platform updates, and investing commentary. The BackAlpha Blog covers stock strategy design, backtesting methods, and practical thoughts on long-term investing — all backed by data.

Recent Posts

How to Choose the Right Call Option

A step-by-step guide to choosing the best underlying stock, expiration date, and strike price for long-term leveraged investing with call options.

2025-07-03

Risk-Free Rate in Backtests: How We Handle Cash Returns on BackAlpha

Learn how BackAlpha simulates interest earned on idle cash using real-world cash sweep rates like those from Robinhood, and why this matters in strategy backtesting.

2025-06-15

Using Call Options for Leverage: Amplify Returns with Defined Risk

Control 100 shares of stock with less capital using call options. Discover how options leverage works and when it beats buying shares outright.

2025-06-07

Buy and Hold vs. Dollar Cost Averaging: Strategy Fit by Market Condition

Weigh the pros and cons of Buy and Hold and Dollar Cost Averaging strategies. Understand when it makes sense to invest all at once — and when it's smarter to go slow.

2025-05-31

Adjusted Close Price: What It Means and Why It Matters

Learn what adjusted close prices are, why they matter for long-term backtesting, and how they impact performance metrics on BackAlpha.

2025-05-27

Understanding XIRR: Accurately Measuring DCA Returns

Why we use XIRR to calculate annualized returns for DCA strategies, and how it provides a more accurate picture than simple gain percentages.

2025-05-26

Dollar Cost Averaging Now Supported on BackAlpha

We now support simulating Dollar Cost Averaging strategies over time. See how regular $1,000 investments perform across decades of market history.

2025-05-23

Buy and Hold Strategy Is Now Live on BackAlpha

Explore the launch of our Buy and Hold strategy backtesting. See why it's a timeless approach and how you can evaluate its performance over decades of market history.

2025-05-07

Introducing BackAlpha: Transparent Backtesting for Long-Term Investors

Why I created BackAlpha, how it works, and tips to get the most out of exploring long-term investment strategies online.

2025-05-05