Globally diversified equity portfolio with a strong value tilt and efficient risk return tradeoff
Report created on Apr 12, 2026Risk profile
- Secure Speculative
The risk profile, derived from past market volatility, reflects the level of risk the portfolio is exposed to. This assessment helps align your investments with your financial goals and comfort with market fluctuations.
Diversification profile
- Focused Diversified
The diversification assessment evaluates the spread of investments across asset classes, regions, and sectors. This ensures a balanced mix, reducing risk and maximizing returns by not concentrating in any single area.
Positions
-
VT Vanguard Total World Stock Index Fund ETF Shares
VT - US9220427424 85.00% -
AV Avantis® U.S. Small Cap Value ETF
AVUV - US0250728773 15.00%
The portfolio is deliberately simple with only two holdings and a clear 100% equity focus. Around 85% sits in a global total stock fund that owns thousands of companies worldwide, while 15% tilts into a specialized small cap value fund. This structure means most of the behavior is driven by broad global markets, with a noticeable “booster shot” from smaller cheaper companies. A setup like this is easy to manage and understand because each fund has a clear job. The main takeaway is that complexity is low but intentional tilting is present so results will not exactly match standard global indexes over time.
Growth
Historically $1,000 grew to about $2,257 over the analyzed period, which works out to a 13.31% compound annual growth rate (CAGR). CAGR is the “smooth” yearly growth rate as if returns came in a straight line. The worst peak‑to‑trough drop was about -36% during early 2020, similar in depth and speed to what broad markets experienced. Compared to the US market the portfolio lagged by about 1.9% per year but it slightly beat the global market by about 0.4% per year. This shows performance has been solid and broadly in line with global stocks, with risk levels typical for a growth‑oriented all‑equity approach.
Projection
The Monte Carlo projection simulates many possible 15‑year paths using past volatility and return patterns to estimate a range of outcomes. Think of it as rolling the dice 1,000 times on future markets then summarizing the results. The median path turns $1,000 into around $2,842 while the central “likely” band runs from roughly $1,814 to $4,319. There’s about a three‑in‑four chance of a positive result but also a meaningful chance of flat or negative outcomes. The main message is that even with strong long‑term expectations equity investing comes with wide uncertainty bands and results will not follow a smooth line like the projection median.
Asset classes
- Stocks 100%
All capital is in stocks with 0% in bonds cash or alternatives. That pure‑equity stance fits a growth‑oriented profile and raises both long‑term return potential and short‑term volatility. In calm or rising markets this tends to look great but in severe downturns there’s no built‑in cushion from safer assets. Benchmarks aimed at more balanced investors usually mix in bonds to dampen swings. Here the design is closer to an aggressive equity index with a small style tilt layered on top. The key implication is that this setup suits people able to ride through large temporary losses without needing to withdraw money on short notice.
Sectors
- Technology 23%
- Financials 18%
- Industrials 13%
- Consumer Discretionary 11%
- Health Care 8%
- Telecommunications 7%
- Energy 6%
- Consumer Staples 5%
- Basic Materials 5%
- Utilities 2%
- Real Estate 2%
Sector exposure looks well spread with technology the single largest slice at 23% followed by financials industrials and consumer‑related areas. This mix is broadly in line with global indexes which also lean toward tech but still give meaningful space to other parts of the economy. A tech‑tilted but not tech‑dominated portfolio tends to benefit from innovation and productivity trends while avoiding putting everything on one industry. During periods of rising interest rates or regulatory pressure technology and growth names can be more volatile so having solid weight in financials industrials and defensive sectors helps balance that. Overall this sector split is healthy and benchmark‑like.
Regions
- North America 68%
- Europe Developed 13%
- Japan 5%
- Asia Developed 5%
- Asia Emerging 5%
- Australasia 2%
- Africa/Middle East 1%
- Latin America 1%
Geographically about 68% is in North America with the rest spread across Europe Japan other developed Asia emerging Asia and smaller allocations to Australasia Latin America and Africa Middle East. This is close to global market weights where the US also dominates but not as an exclusive bet. The benefit is that results are driven mostly by the world’s largest and deepest market while still reflecting growth in other regions. A setup like this reduces the risk that any one country’s economic shock completely dictates outcomes. Currency risk is naturally present but diversified because underlying companies earn revenue in many different currencies worldwide.
Market capitalization
- Mega-cap 37%
- Large-cap 26%
- Mid-cap 16%
- Small-cap 12%
- Micro-cap 7%
By market cap the portfolio leans toward larger companies but still has meaningful exposure down the size spectrum. Mega and large caps make up just over 60% while mid small and micro caps together represent almost 40%. This is more diversified by size than many simple large‑cap‑only portfolios. Bigger companies tend to be more stable and widely researched; smaller ones can be more volatile but also offer different growth and value opportunities. The dedicated small cap value slice pushes size exposure slightly down the ladder which can change behavior in certain cycles especially when smaller cheaper companies come back into favor after periods of underperformance.
True holdings
-
NV NVIDIA Corporation 3.19%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
AA Apple Inc 2.96%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
MS Microsoft Corporation 2.24%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
AM Amazon.com Inc 1.55%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
GO Alphabet Inc Class A 1.39%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
23 Taiwan Semiconductor Manufacturing Co. Ltd. 1.16%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
AV Broadcom Inc 1.13%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
GO Alphabet Inc Class C 1.13%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
ME Meta Platforms Inc. 1.09%
Part of fund(s):- Vanguard Total World Stock Index Fund ETF Shares
-
TS Tesla Inc 0.88%
Part of fund(s):- LS 1x Tesla Tracker ETP Securities GBP
- Vanguard Total World Stock Index Fund ETF Shares
- Top 10 total 16.71%
Looking through to the top holdings shows meaningful exposure to some of the world’s largest companies like Nvidia Apple Microsoft and Amazon. These appear through the global ETF rather than as direct stock picks. Because the data only covers top‑10 ETF positions the actual list of companies is far longer and overlap is likely higher than shown. That said there is no sign of any single company dominating overall risk which is a positive sign. Hidden concentration is modest here largely because the core fund spreads investments widely rather than doubling up aggressively on the same names across many different products.
Factors
Factor exposure shows a clear high tilt to value at 62% while size momentum quality yield and low volatility all sit around neutral. Factors are characteristics like “cheap vs expensive” or “large vs small” that research links to long‑term return patterns. A value tilt means the portfolio leans toward stocks trading at lower prices relative to fundamentals rather than the most popular high‑growth names. Historically value has had long stretches of both under‑ and outperformance so returns may diverge from broad indexes at times. Because other factors are close to market‑like this value tilt stands out as the main intentional style difference from a pure index.
Risk contribution
-
Vanguard Total World Stock Index Fund ETF Shares
Weight: 85.00% 81.1% -
Avantis® U.S. Small Cap Value ETF
Weight: 15.00% 18.9%
Risk contribution highlights how much each fund drives the portfolio’s ups and downs regardless of its weight. The global ETF is 85% of assets and contributes about 81% of total risk meaning its volatility is similar to the overall mix. The small cap value ETF is 15% of assets but contributes almost 19% of risk so each dollar in it swings a bit more than a dollar in the core fund. This is normal for smaller more volatile stocks. The main takeaway is that risk is still dominated by the diversified global holding with a modest but intentional extra kick from the small cap sleeve.
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.
The efficient frontier analysis shows the current mix sits right on or very close to the frontier which is the curve of the best possible risk‑return combinations using the existing holdings. The portfolio’s Sharpe ratio a measure of return per unit of risk is 0.53 while the maximum‑Sharpe mix using the same two funds scores 0.68 at slightly higher risk. Interestingly the minimum‑variance mix also has a strong Sharpe at somewhat lower risk. That means small reweighting changes could shift the balance but the existing allocation is already quite efficient. From a risk‑versus‑reward standpoint this is a solid and well‑tuned configuration.
Dividends
- Avantis® U.S. Small Cap Value ETF 1.30%
- Vanguard Total World Stock Index Fund ETF Shares 1.70%
- Weighted yield (per year) 1.64%
The combined dividend yield is about 1.64% with the world ETF yielding around 1.7% and the small cap value fund a bit lower. Dividends are cash payouts from companies and form a steady part of long‑term stock returns even if they look small year to year. For a growth‑focused equity portfolio this level is typical and signals that returns are expected to come more from capital appreciation than from income. Investors mainly seeking regular cash flow might look for higher‑yielding setups while growth investors often prefer lower yields if that comes with more reinvestment into future business expansion.
Ongoing product costs
- Avantis® U.S. Small Cap Value ETF 0.25%
- Vanguard Total World Stock Index Fund ETF Shares 0.07%
- Weighted costs total (per year) 0.10%
Costs are impressively low with a blended total expense ratio (TER) around 0.10%. TER is the annual fee charged by funds as a percentage of assets and it quietly compounds over time just like returns do. Keeping this number low is one of the most reliable ways to improve long‑term outcomes because every dollar not spent on fees stays invested. These levels are right in line with some of the most cost‑efficient products available which is a real strength here. Fees are unlikely to be a drag on performance so results will mainly reflect market behavior and the chosen tilts rather than unnecessary cost friction.
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