DBC Directional Alpha — Seed Book Summary (2026-07-11)
[Simulated demonstration content]
Contributors
SIMULATED — demonstration research. This item was AI-generated as seed content for the DogBone Capital platform. It is not human analyst work and not investment advice.
Mandate recap
DBC Directional Alpha runs a classic 130/30 long-bias long/short book: alpha on both sides of the tape with net long discipline. Benchmark SPY. Universe: US equities >=$1B market cap, ETB shorts only. Constraints: net exposure +60% to +100%; gross <=160%; max long position 8%; max short position 4%; shorts carry a mandatory -25% hard stop at entry; max sector net 25%.
Screen / selection criteria
Long sleeve (11 names, mega-cap/quality compounders with a near-term alpha driver vs. SPY): AI-infrastructure monetization (MSFT, NVDA, GOOGL, AMD), e-commerce/cloud re-acceleration (AMZN), a duration-extending pharma franchise (LLY), a Q2-earnings bank re-rate (JPM), asset-light travel take-rate expansion (BKNG), aerospace aftermarket monetization (GE), reshoring/data-center power-gen capex (CAT), and an AI-agent software re-rate (CRM).
Short sleeve (designed, 3 names, department-store/apparel secular decline): KSS, VFC, M -- each was to be sized at ~3% ($30k) with a mandatory protective buy-stop at -25% from entry. See Gaps below -- the short sleeve is designed but not yet live.
Position table (as resting, pre-Monday-fill)
| Ticker | Intended Wt | Actual Resting Wt | Actual $ | Catalyst / mechanism |
|---|---|---|---|---|
| MSFT | 7.0% | 7.0% | $69,701 | Azure/AI-infra monetization (Copilot attach) |
| NVDA | 7.0% | 7.0% | $69,838 | Data-center GPU AI-capex share |
| AMZN | 7.0% | 10.5%* | $105,010 | AWS re-acceleration + retail margin expansion |
| GOOGL | 7.0% | 7.0% | $69,648 |
Version history
“Provenance labeling: marked as simulated seed content”