Balanced global exposure with equal emphasis on US and international markets

Report created on Jul 29, 2025

Risk profile Info

4/7
Balanced
Less risk More risk

Diversification profile Info

4/5
Broadly Diversified
Less diversification More diversification

Positions

Your portfolio is evenly split between the Vanguard Total Stock Market Index Fund ETF Shares and the Vanguard Total International Stock Market Index Fund ETF Shares, offering a 50/50 allocation between domestic (US) and international equities. This structure provides broad diversification across global markets, aligning with best practices for reducing country-specific risks. The simplicity of this two-fund strategy is commendable, as it captures a wide spectrum of the global equity market with minimal complexity.

Growth Info

Historically, your portfolio has achieved a Compound Annual Growth Rate (CAGR) of 10.99%, with a maximum drawdown of -34.40%. These figures suggest a robust performance, balancing growth with a moderate level of risk. The drawdown indicates the portfolio's vulnerability during market downturns, but the overall CAGR demonstrates resilience and recovery capability. It's important to remember that past performance is not a reliable indicator of future results, yet these figures provide a useful gauge of the portfolio's historical behavior.

Projection Info

Monte Carlo simulations, which use historical data to project potential future outcomes, show a wide range of possibilities for your portfolio. With 975 out of 1,000 simulations predicting positive returns, the median projection suggests significant growth potential. However, the wide range from the 5th to the 67th percentile highlights the uncertainty inherent in all investments. These projections are useful for stress-testing your portfolio against various market conditions but should not be the sole basis for investment decisions.

Asset classes Info

  • Stocks
    98%
  • Cash
    2%

Your portfolio's asset allocation is heavily weighted towards stocks (98%), with a minimal cash reserve (2%). This allocation is typical for growth-oriented investors seeking higher returns, albeit with increased volatility. Stocks, being growth assets, offer the potential for higher long-term returns compared to bonds or cash. However, the nearly exclusive focus on equities means your portfolio may experience significant short-term fluctuations in value.

Sectors Info

  • Technology
    22%
  • Financials
    19%
  • Industrials
    13%
  • Consumer Discretionary
    11%
  • Health Care
    9%
  • Telecommunications
    7%
  • Consumer Staples
    6%
  • Basic Materials
    4%
  • Energy
    4%
  • Real Estate
    3%
  • Utilities
    3%

The sectoral distribution within your portfolio mirrors the broader market, with technology and financial services being the most prominent sectors. This reflects the current global economic structure, where these sectors dominate. However, heavy concentration in any sector, especially volatile ones like technology, can introduce specific risks. Diversification across sectors can mitigate these risks, and your portfolio benefits from exposure to a wide range of sectors, though it's worth monitoring sector balances over time.

Regions Info

  • North America
    54%
  • Europe Developed
    20%
  • Asia Emerging
    8%
  • Japan
    8%
  • Asia Developed
    5%
  • Australasia
    2%
  • Africa/Middle East
    2%
  • Latin America
    1%

Geographically, your portfolio is well diversified, with over half allocated to North America and significant investments in developed Europe and emerging Asian markets. This global exposure reduces the risk of regional downturns significantly impacting your portfolio. However, the relatively low allocation to emerging markets may mean missing out on higher growth potential offered by these regions. Balancing developed and emerging market exposure can optimize growth opportunities while managing risk.

Market capitalization Info

  • Mega-cap
    43%
  • Large-cap
    31%
  • Mid-cap
    18%
  • Small-cap
    5%
  • Micro-cap
    1%

The market capitalization breakdown shows a strong bias towards mega and big-cap stocks, which tend to be more stable and less volatile than their smaller counterparts. This aligns with the portfolio's balanced risk profile, as larger companies are generally more established and financially robust. However, the relatively small allocation to small and micro-cap stocks could limit exposure to high-growth opportunities, which these companies often represent.

Risk vs. return

This chart shows the Efficient Frontier, calculated using your current assets with different allocation combinations. It highlights the best balance between risk and return based on historical data. "Efficient" portfolios maximize returns for a given risk or minimize risk for a given return. Portfolios below the curve are less efficient. This is informational and not a recommendation to buy or sell any assets.

Click on the colored dots to explore allocations.

Considering the Efficient Frontier, your portfolio appears well-optimized for a balance between risk and return, based on historical data. The current allocation offers a solid risk-return profile that matches a balanced investment strategy. However, continuous review and minor adjustments can further refine this balance, ensuring the portfolio remains aligned with evolving market conditions and your personal risk tolerance.

Dividends Info

  • Vanguard Total Stock Market Index Fund ETF Shares 1.20%
  • Vanguard Total International Stock Index Fund ETF Shares 2.80%
  • Weighted yield (per year) 2.00%

The dividend yields from your ETFs contribute to the portfolio's total return, with an average yield of 2.00%. Dividends provide a steady income stream and can offer some cushion during market downturns. For investors particularly interested in income, focusing on assets with higher dividend yields might be appealing. However, it's essential to balance the pursuit of dividends with the overall growth and diversification objectives of the portfolio.

Ongoing product costs Info

  • Vanguard Total Stock Market Index Fund ETF Shares 0.03%
  • Vanguard Total International Stock Index Fund ETF Shares 0.05%
  • Weighted costs total (per year) 0.04%

The portfolio benefits from exceptionally low costs, with a total expense ratio (TER) of 0.04%. Low costs are crucial for long-term investment success, as they directly enhance net returns. Vanguard's reputation for low-cost funds is well reflected in your portfolio's structure, ensuring more of your investment returns are retained rather than lost to fees.

What next?

Ready to invest in this portfolio?

Select a broker that fits your needs and watch for low fees to maximize your returns.

Select broker

Create your own report?

Analyze your portfolio

Join our community!

Join Discord

The information provided on this platform is for informational purposes only and should not be considered as financial or investment advice. Insightfolio does not provide investment advice, personalized recommendations, or guidance regarding the purchase, holding, or sale of financial assets. The tools and content are intended for educational purposes only and are not tailored to individual circumstances, financial needs, or objectives.

Insightfolio assumes no liability for the accuracy, completeness, or reliability of the information presented. Users are solely responsible for verifying the information and making independent decisions based on their own research and careful consideration. Use of the platform should not replace consultation with qualified financial professionals.

Investments involve risks. Users should be aware that the value of investments may fluctuate and that past performance is not an indicator of future results. Investment decisions should be based on personal financial goals, risk tolerance, and independent evaluation of relevant information.

Insightfolio does not endorse or guarantee the suitability of any particular financial product, security, or strategy. Any projections, forecasts, or hypothetical scenarios presented on the platform are for illustrative purposes only and are not guarantees of future outcomes.

By accessing the services, information, or content offered by Insightfolio, users acknowledge and agree to these terms of the disclaimer. If you do not agree to these terms, please do not use our platform.

Instrument logos provided by Elbstream.

Help us improve Insightfolio

Your feedback makes a difference! Share your thoughts in our quick survey. Take the survey