High income large cap growth blend with strong tech tilt and efficient frontier headroom
Report created on Jul 18, 2024Risk profile
4/7
Diversification profile
3/5
Positions
-
JE JPMorgan Nasdaq Equity Premium Income ETF
JEPQ - US46654Q2030 32.50% -
VO Vanguard S&P 500 ETF
VOO - US9229083632 32.50% -
SC Schwab U.S. Large-Cap Growth ETF
SCHG - US8085243009 30.00% -
YM YieldMax™ Magnificent 7 Fund of Option Income ETFs
YMAG - US88636J6423 5.00%
The portfolio is built from four ETFs, all tied to U.S. large-cap stocks but used in different ways. Around two-thirds sits in broad, plain-vanilla market exposure, split between a large-cap index and a growth-focused index. Roughly one-third is in an income-oriented options ETF, with a small satellite slice in an aggressive options-based “Magnificent 7” income fund. This creates a concentrated but simple structure: three core building blocks plus one high-octane satellite. That simplicity is helpful for monitoring and tweaking. The main takeaway is that most risk and return will follow U.S. large growth stocks, while the options strategies tilt the mix toward upfront income and somewhat smoother day‑to‑day moves.
Growth
Over the measured period, $1,000 grew to about $1,320, with a compound annual growth rate (CAGR) of 13.78%. CAGR is like your average “speed” over the whole trip, smoothing out bumps along the way. This trailed both the U.S. and global market by less than 1.1 percentage points a year, so results are very close to broad benchmarks. The max drawdown of about -21% versus -19% and -17% for the benchmarks shows slightly deeper dips but still in the same ballpark. With 90% of gains coming from just eight days, staying invested through swings clearly mattered. The key point: performance is benchmark-like, with a modest tradeoff of slightly lower return for high current income.
Asset classes
- Stocks 89%
- Not classified 6%
- Bonds 5%
Asset-wise, this is overwhelmingly an equity portfolio: about 89% in stocks, 5% in bonds, and a small slice in unclassified instruments. That stock-heavy mix lines up with a “balanced‑plus” profile leaning firmly toward growth rather than capital preservation. It also means portfolio swings will be heavily tied to stock market moves, with only a thin cushion from bonds. For many balanced investors, a somewhat higher bond or cash allocation can help smooth drawdowns and provide dry powder. Still, for someone with a long horizon who can ride out volatility, this high‑equity stance is a reasonable way to pursue growth, especially when they’re comfortable seeing occasional double-digit declines on statements.
Sectors
- Technology 41%
- Telecommunications 13%
- Consumer Discretionary 11%
- Health Care 7%
- Financials 6%
- Industrials 6%
- Consumer Staples 5%
- Energy 2%
- Basic Materials 1%
- Utilities 1%
- Real Estate 1%
This breakdown covers the equity portion of your portfolio only.
Sector exposure is very tech-centric: technology and related segments dominate, followed by consumer discretionary and communication-related areas, with smaller slices in health care, financials, and other sectors. Compared with typical broad market mixes, this is a noticeable tilt toward tech and growth-sensitive areas and a lighter allocation to more defensive sectors like utilities or staples. That tilt has been rewarded in recent years but tends to be more sensitive to interest rates and sentiment shifts. When growth stories are in favor, returns can outpace the market; during rotations into value or defensives, it can lag. The positive side is strong participation in innovation; the tradeoff is higher sector-specific volatility.
Regions
- North America 94%
- Europe Developed 1%
This breakdown covers the equity portion of your portfolio only.
Geographically, the portfolio is almost entirely concentrated in North America, with a tiny allocation to developed Europe and virtually nothing elsewhere. That makes it very aligned with a U.S.-centric approach, which has worked well over the last decade as U.S. large caps outperformed many regions. The flip side is meaningful home-country risk: if U.S. markets or the dollar hit a rough patch, there’s little offset from other regions. Many global benchmarks spread more across international markets, including both developed and emerging economies. Sticking with a mostly U.S. focus keeps things simple and familiar but reduces diversification benefits that can come from holding companies driven by different economic cycles and policy regimes.
Market capitalization
- Mega-cap 48%
- Large-cap 28%
- Mid-cap 12%
- Small-cap 1%
This breakdown covers the equity portion of your portfolio only.
By market cap, the portfolio is dominated by mega- and large-cap stocks, with almost half in mega caps and another big chunk in large caps. Mid- and small-cap exposure is very limited. That profile mirrors the modern U.S. market, where a handful of giant firms drive a lot of index behavior, so it’s broadly in line with current benchmarks. The benefit is generally better liquidity, more stable business models, and narrower bid-ask spreads. The tradeoff is less exposure to smaller, potentially faster-growing companies that can shine in certain cycles. Overall, the size mix is solidly mainstream and will behave similarly to a typical large-cap growth-leaning index.
True holdings
-
NV NVIDIA Corporation 8.22%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
AA Apple Inc 7.19%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
MS Microsoft Corporation 5.48%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
AM Amazon.com Inc 4.08%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
GO Alphabet Inc Class C 3.59%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
ME Meta Platforms Inc. 2.90%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
AV Broadcom Inc 2.82%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
TS Tesla Inc 2.63%
Part of fund(s):- JPMorgan Nasdaq Equity Premium Income ETF
- LS 1x Tesla Tracker ETP Securities GBP
- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
GO Alphabet Inc Class A 2.42%
Part of fund(s):- Schwab U.S. Large-Cap Growth ETF
- Vanguard S&P 500 ETF
-
LL Eli Lilly and Company 0.84%
Part of fund(s):- Schwab U.S. Large-Cap Growth ETF
- Top 10 total 40.18%
This breakdown covers the equity portion of your portfolio only.
Looking through the ETFs, the real drivers are the mega-cap names: NVIDIA, Apple, Microsoft, Amazon, Alphabet, Meta, Broadcom, Tesla, and Eli Lilly. Together, just those names already make up a chunky slice of total exposure, and several appear in multiple ETFs. That repetition creates hidden concentration: if one of these giants stumbles, the impact can be felt across several holdings at once. Overlap is probably higher than shown, since only ETF top‑10 positions are counted. The takeaway here is that this is effectively a “Magnificent 7 plus friends” portfolio, even if it doesn’t look that way at first glance. Being intentional about that growth‑mega tilt is important.
Factors
Factor exposures are estimated using statistical models based on historical data and measure systematic (market-relative) tilts, not absolute portfolio characteristics. Results may vary depending on the analysis period, data availability, and currency of the underlying assets.
Factor-wise, there are a few strong tilts. Size exposure is very low, meaning a pronounced lean away from smaller companies and toward the largest names. Momentum is high, indicating preference for stocks that have been recent winners, which tends to help in strong uptrends but can hurt during sharp reversals. Yield and low-volatility exposures are both high, which largely reflects the options-income strategies dampening swings and boosting cash distributions. Value exposure is low, fitting the growth-heavy style. Overall, the portfolio is tilted toward big, winning, income-generating names with somewhat smoother price paths. In markets that favor cheap, smaller, or unloved stocks, this type of factor mix can lag more diversified or value-tilted approaches.
Risk contribution
-
Schwab U.S. Large-Cap Growth ETF
Weight: 30.00% 35.4% -
JPMorgan Nasdaq Equity Premium Income ETF
Weight: 32.50% 30.0% -
Vanguard S&P 500 ETF
Weight: 32.50% 28.9% -
YieldMax™ Magnificent 7 Fund of Option Income ETFs
Weight: 5.00% 5.7%
Risk contribution shows how much each holding drives the portfolio’s ups and downs, which can differ from simple weights. Here, the three core ETFs make up about 95% of total risk, roughly in line with their combined weight but leaving very little marginal influence to the 5% satellite position. The growth ETF contributes a bit more risk than its weight, consistent with its more volatile style, while the two broad and income-oriented ETFs contribute slightly less than their allocations. The message is that fine-tuning the overall risk profile mainly comes from adjusting these three big levers. If a different volatility level is desired, small tweaks to their weights can matter far more than changing the smallest fund.
Redundant positions
-
High correlationVanguard S&P 500 ETFSchwab U.S. Large-Cap Growth ETFJPMorgan Nasdaq Equity Premium Income ETF
Correlations between the main ETFs are extremely high, around 0.95–0.96, meaning they tend to move almost in lockstep. Correlation measures how often assets move together; a value close to 1 is like two dancers mirroring each other’s steps. High correlation limits diversification benefits: owning multiple funds that move almost the same way doesn’t reduce downside much when markets fall. The positive angle is that all three are consistent building blocks tracking a similar part of the market, which makes behavior more predictable. Still, if the goal is to spread risk more, future tweaks might involve mixing in assets with genuinely different drivers rather than more of the same pattern.
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.
On the risk–return chart, the current portfolio sits below the efficient frontier by about 1.3 percentage points at the same risk level. The efficient frontier represents the best expected return you could get for each level of volatility using only these existing holdings but with different weights. Sharpe ratio, a common risk-adjusted return metric, is higher for both the optimal and minimum-variance mixes than for the current one. That means, purely from a math standpoint, there’s room to improve either by getting more return for the same risk or similar return with less volatility. The key point: without adding any new funds, simply reweighting what’s already there could meaningfully sharpen the overall risk–reward tradeoff.
Dividends
- JPMorgan Nasdaq Equity Premium Income ETF 11.40%
- Schwab U.S. Large-Cap Growth ETF 0.30%
- Vanguard S&P 500 ETF 0.90%
- YieldMax™ Magnificent 7 Fund of Option Income ETFs 56.00%
- Weighted yield (per year) 6.89%
Income is a standout feature. The blended yield near 6.9% is far above broad market levels, driven mainly by the options-income ETFs, especially the very high-yield Magnificent 7 fund. These yields come from option premiums rather than just traditional dividends, so they can fluctuate with volatility and underlying performance. While cash flow is attractive for spending or reinvestment, investors should remember that high income often comes with tradeoffs in price appreciation or tax efficiency. The encouraging part is that this setup converts growth-stock exposure into substantial current cash flow, which can be appealing for those who like seeing regular deposits without moving into slower-growing, high-yield value stocks.
Ongoing product costs
- JPMorgan Nasdaq Equity Premium Income ETF 0.35%
- Schwab U.S. Large-Cap Growth ETF 0.04%
- Vanguard S&P 500 ETF 0.03%
- YieldMax™ Magnificent 7 Fund of Option Income ETFs 1.28%
- Weighted costs total (per year) 0.20%
Total costs are impressively low at about 0.20% per year, thanks to heavy use of ultra-cheap index ETFs. The one expensive piece is the specialized Magnificent 7 income fund, but its small 5% weight keeps its impact on overall costs modest. Fees act like friction on returns; saving a few tenths of a percent annually can compound into a noticeable difference over decades. Here, the cost structure is a real strength: most of the portfolio’s risk and return comes from very efficient, low-fee vehicles. That leaves more of the returns in the investor’s pocket, especially important when targeting long-term, compounding growth alongside income.
What next?
Ready to invest in this portfolio?
Select a broker that fits your needs and watch for low fees to maximize your returns.
Create your own report?
Join our community!
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