Walter Badge Methodology

    How we measure newsletter performance. Every score is deterministic, auditable, and based on fixed assumptions.

    Methodology Version 2.2 • Last updated August 2026

    Measurement, Not Advice

    We measure what newsletters recommend. We don't tell you what to do with that information. We are a ruler, not a coach.

    Fixed Assumptions

    All newsletters are evaluated under identical assumptions for entry, exit, position sizing, and fill prices. No special treatment.

    Full Audit Trail

    Every recommendation extraction, mapping decision, and outcome calculation can be traced and independently verified.

    The Walter Score

    Score = 0.35(Performance) + 0.35(Risk) + 0.15(Process) + 0.15(Consistency)
    Performance
    35%
    • Modeled return relative to the assigned peer-group benchmark
    Risk Management
    35%
    • Drawdown and exposure discipline under fixed execution assumptions
    Process Quality
    15%
    • Clarity and completeness of actionable recommendations
    Consistency
    15%
    • Stability of results across the observation window

    Grade Scale

    AAA94–100
    Exceptional. Top-tier performance with strong risk management and consistency.
    AA88–93
    Excellent. Consistently strong returns with disciplined process.
    A82–87
    Good. Solid performance with room for improvement in some areas.
    BBB68–81
    Average. Mixed results with notable strengths and weaknesses.
    BB58–67
    Below average. Underperformance in multiple scoring components.
    B45–57
    Weak. Significant concerns about risk management or consistency.
    C0–44
    Poor. Persistent underperformance or serious process issues.
    NR
    Not Rated. Insufficient track record or peer universe to publish a grade.

    Recommendation classification

    Every extracted call-to-action is placed in one public category. A named security without a price stays Specific.

    SpecificNamed security with an actionable price or trigger
    SpecificNamed security with no price (SECURITY_NO_PRICE)
    DirectionalConcept or sector view mapped to a governed proxy
    WatchlistNon-actionable interest or soft negative
    GeneralGeneral market commentary without a bookable CTA

    Directional proxy map

    Concept and sector views resolve to these 67 governed proxies (Methodology v2.2 / Part 6 Map v2), including DIA for Broad US. Target 67.

    SPY
    Broad US
    QQQ
    Broad US
    DIA
    Broad US
    IJH
    Broad US
    IWM
    Broad US
    IWF
    Style / factor
    IWD
    Style / factor
    MTUM
    Style / factor
    QUAL
    Style / factor
    USMV
    Style / factor
    RSP
    Style / factor
    XLK
    GICS
    XLF
    GICS
    XLV
    GICS
    XLE
    GICS
    XLI
    GICS
    XLY
    GICS
    XLP
    GICS
    XLU
    GICS
    XLB
    GICS
    XLRE
    GICS
    XLC
    GICS
    SMH
    Industry / theme
    IGV
    Industry / theme
    CIBR
    Industry / theme
    BOTZ
    Industry / theme
    XBI
    Industry / theme
    KRE
    Industry / theme
    XHB
    Industry / theme
    XRT
    Industry / theme
    IYT
    Industry / theme
    ITA
    Industry / theme
    GDX
    Industry / theme
    URA
    Industry / theme
    TAN
    Industry / theme
    LIT
    Industry / theme
    SCHD
    Income / midstream
    AMLP
    Income / midstream
    TLT
    Rates / credit
    IEF
    Rates / credit
    SHY
    Rates / credit
    LQD
    Rates / credit
    HYG
    Rates / credit
    TIP
    Rates / credit
    EMB
    Rates / credit
    DBC
    Commodities
    GLD
    Commodities
    SLV
    Commodities
    USO
    Commodities
    UNG
    Commodities
    CPER
    Commodities
    DBA
    Commodities
    DBB
    Commodities
    EEM
    International
    FXI
    International
    EFA
    International
    VGK
    International
    EWJ
    International
    INDA
    International
    EWZ
    International
    EWW
    International
    ILF
    International
    UUP
    Currency
    FXE
    Currency
    IBIT
    Crypto
    ETHA
    Crypto
    VIXY
    Volatility

    Execution Assumptions

    To ensure apples-to-apples comparisons, all modeled positions use the same execution assumptions regardless of the newsletter source.

    Buy Orders

    Filled at ASK price

    If received after market close, filled at next open ASK.

    Sell Orders

    Filled at BID price

    If received after market close, filled at next open BID.

    Position Size

    $1,000 per signal (default)

    Equal-weighted. User can override in settings for personal tracking.

    Slippage

    0 basis points

    We model zero slippage. Real-world results may vary.

    Commissions

    Not included

    Modeled returns are gross of commissions and fees.

    Crypto

    24/7 market assumed

    Crypto assets filled at time of extraction with 5-minute delay.

    Important Disclaimer

    Walter Grades is an analytics and data provider, not an investment advisor. All returns shown are hypothetical and modeled under fixed assumptions. Past performance is not indicative of future results. Walter Grades does not recommend, endorse, or advise on any investment. The Walter Score is a standardized metric, not a buy/sell signal. Always do your own research and consult a licensed financial advisor.