TL;DR
Our June allocation (Healthcare 36% · Semiconductors 35% · Defense 29%) returned +8.42% over 6/2 to 7/1, beating SPY (-1.55%) by +9.98 percentage points — our best alpha month in five. All three sleeves rose: SOXX +12.03%, XLV +7.32%, ITA +5.44%.
What worked
The defensive pivot that put Healthcare at #1 in June proved well-timed: XLV compounded steadily while semiconductors kept running. Defense quietly added +5.44%. The SOXX -3pp trim we made in June cost almost nothing (about -0.14pp) while adding protection into a hawkish Fed meeting.
What we are watching (the honest caveat)
The alpha is partly relative: the S&P actually fell this month, so our outperformance reflects narrow market breadth as much as conviction. Semiconductors carrying the book while the broad index drops is a fragility signal, not only a win. That is why the August book trims SOXX further, and why building a SOX P/E percentile — three months overdue — is now a hard blocker before the next monthly call.
Not investment advice. Past performance does not guarantee future results.