How the machine manages the book.

Durable businesses, owned while the wind is at their back.

The Flagship owns 18–20 genuinely durable franchises — strong economics, sound balance sheets, managers who allocate capital well — and owns them while sovereign-wealth flows, hyperscaler capex, defense bills, and enacted policy are at their back. The tailwind is not the thesis; the durable business is. A position holds through drawdowns and weak prints as long as the business and its structural tailwind are intact, and exits when one of them breaks — not because the price moved.

The signal mix is fixed in policy: ~50% business durability (franchise, unit economics, balance sheet, management), ~30% policy & macro tailwind (defense bills, CHIPS/IRA-style programs, the rate backdrop), and ~20% capital-flow confirmation (13F deltas, capex commitments, insider clusters). Technicals and sentiment appear nowhere in that list — they decay too fast and add turnover without alpha.

Positions cluster in four pillars — a diversification frame, not a quota: Compute & AI infrastructure, Energy & grid, Defense & sovereign capability, Biology & longevity. Builder bias throughout: companies that physically build — fabs, reactors, ships, drug pipelines — are first-class.

The model proposes. The caps dispose.

Every Monday the strategist proposes a target book — and a mechanical cap engine sizes it down to whatever the rules permit, no matter how convinced the model sounds. The caps are code (sizing/caps.js), not prompt instructions: changing one requires a strategy edit and a commit, never a persuasive argument.

Three regimes set the cash band. Floors never move.

Cash is governed by a three-regime composite read weekly from VIX, the yield curve, credit spreads, market breadth, and index extension. The regime call proposes a cash target; the band is enforced mechanically at every decision seam.

When deterministic defensive signals fire, the ceiling of the current band extends — Extension (QQQ >+8% above its 200-day MA, or weekly RSI ≥ 70) adds +10pp, Stress (VIX >+25% vs its 200-day, or HY spreads +50bps in 20 days) adds +10pp, and Event risk (a binary macro event within 3 sessions) adds +5pp — hard-capped at 30% of NAV. The floor never moves: the escalator grants permission to defend, never a mandate to sell, and cash above the band with no active signal is rejected in post-validation regardless of the model's reasoning.

A score is the output of a written thesis, not the input to a sort.

Every candidate gets a 0–100 conviction score derived from four questions the agent must answer in writing: why this is a durable 20–30 year compounder; what named policy or macro tailwind is at its back; who is confirming it with capital; and what, specifically, would break the thesis. Names below 60 are not investable. Names at 60 and above are sized in proportion to (score − 60), subject to every cap in the ledger above.

Generic theses are refused mechanically at the buy seam: “strong fundamentals,” “compelling AI exposure,” a bare score, or a doc-pointer gets the open dropped and a refusal row appended to the public journal. If the agent cannot articulate the durable business and name its tailwind, the position cannot enter the book.

A 30-day lock protects the book from its own manager.

New positions carry a 30-day floor on trims and closes. Inside that first month, only a true regime change, a real break in the company's thesis, or a policy shock that postdates the entry can shrink the position — not flow softening, not score drift, not a shinier candidate on the watchlist. The lock is mechanical: it sits at every sell-emission seam, and an override requires citing one of the named paths, which is then journaled.

Refusals are public. When the lock (or the named-flow gate above) blocks an action the model wanted, the refusal lands in the journal with the same prominence as a trade — “checked, nothing to enforce” is itself evidence the rules run every week.

One decision a week. Observation every day.

A 1+ month hold horizon doesn't want three full model runs a week — that's over-trading by design. The cadence is tiered, and only the deep runs are allowed to trade:

The S&P 500 is not the benchmark.

The book is measured against a custom civilizational-builder basket: 25% per pillar, equal weight within each pillar, rebalanced on the first trading day of each calendar quarter, computed on the same price-return basis as the paper book. The constituent list is versioned and append-only. Beating SPY with a defense-and-uranium book in a tech rally proves little; beating the builders it actually competes with proves the selection.

Don't trust the summary. Check the ledger.

Every regime call, strategist run, scoring delta, refusal, and trade ticket is appended to a public journal whose entries are hash-chained — editing any historical entry breaks its fingerprint and every link after it, and the chain is re-verified on a public endpoint. The reasoning is timestamped before the market opens on it; the costs of producing it are published down to the model call.