This portfolio has only about 1.2 years of historical data, based on the youngest asset in the portfolio. Some metrics, projections, and AI insights may be less reliable and should be interpreted with caution.
Get this analysis for your own portfolio Paste your holdings — the first report is free and takes about a minute. Analyze mine

An aggressive portfolio with high bitcoin exposure but limited sector diversification

Report created on Apr 8, 2025

Risk profile Info

6/7
Aggressive
Less risk More risk

Diversification profile Info

1/5
Single-Focused
Less diversification More diversification
Curious how your own portfolio scores? Same analysis, your holdings. First report free — no card needed. Analyze mine

Positions

The portfolio is heavily weighted towards the iShares Bitcoin Trust, representing 50% of the total allocation. This high concentration in a single asset class emphasizes a strong focus on cryptocurrency. The remaining 50% is split among three other ETFs, with Schwab U.S. Dividend Equity ETF holding 25%, Invesco NASDAQ 100 ETF at 17.5%, and iShares U.S. Financials ETF at 7.5%. Compared to a typical balanced portfolio, this composition is significantly skewed towards high-risk, high-reward assets. To achieve greater diversification, consider integrating additional asset classes such as bonds or international equities, which can help mitigate risk and provide more balanced growth potential.

Growth Info

Historically, the portfolio has delivered an impressive Compound Annual Growth Rate (CAGR) of 31.48%, significantly outperforming many benchmarks. However, this performance comes with a maximum drawdown of -22.45%, indicating substantial volatility. This is typical for portfolios with high-risk assets like bitcoin. While past performance is impressive, it's crucial to remember that historical returns do not guarantee future results. To manage potential downturns, consider diversifying further to include more stable investments, which could help reduce volatility and provide a smoother return profile.

Projection Info

The Monte Carlo simulation, which uses historical data to predict future outcomes, suggests a wide range of potential returns. With a 50th percentile projection of 806% and a 5th percentile of 17.3%, the portfolio has a high potential for significant growth, but also considerable risk. The simulation's annualized return of 21.84% reflects optimistic expectations, though such projections are inherently uncertain. It's important to note that while simulations provide insight, they are not predictions. Regularly review and adjust the portfolio to align with changing market conditions and personal goals.

Asset classes Info

  • Other
    50%
  • Stocks
    50%

The portfolio is split between two primary asset classes: cryptocurrency and stocks, each holding 50%. This allocation limits diversification benefits typically achieved by including bonds or real estate. While the focus on high-growth assets like bitcoin and technology stocks can yield substantial returns, it also increases exposure to market volatility. To enhance diversification, consider incorporating other asset classes such as fixed income, which can provide stability and reduce overall risk. A more balanced asset class distribution can help cushion against downturns in any single market segment.

Sectors Info

  • Financials
    12%
  • Technology
    12%
  • Health Care
    6%
  • Consumer Staples
    5%
  • Consumer Discretionary
    5%
  • Telecommunications
    4%
  • Industrials
    3%
  • Energy
    3%
  • Basic Materials
    1%

Sector allocation reveals a concentration in Financial Services and Technology, each at 12%, with minimal exposure to other sectors. This focus aligns with high-growth industries but lacks diversification across the broader economic landscape. For instance, the absence of sectors like Utilities or Real Estate can leave the portfolio vulnerable to sector-specific downturns. To mitigate this, consider increasing exposure to underrepresented sectors, which can buffer against volatility and provide more stable returns. A well-rounded sector allocation can enhance resilience against economic fluctuations.

Regions Info

  • North America
    49%
  • Europe Developed
    1%

The portfolio is predominantly invested in North America, accounting for 49% of the allocation, with negligible exposure to other regions. This geographic concentration can limit diversification benefits and increase vulnerability to regional economic downturns. Expanding exposure to developed markets in Europe or Asia could provide a hedge against North American market volatility and tap into growth opportunities abroad. A more globally diversified portfolio can enhance returns by capitalizing on different economic cycles and reducing reliance on a single region's performance.

Market capitalization Info

  • Large-cap
    26%
  • Mega-cap
    11%
  • Mid-cap
    11%
  • Small-cap
    2%

The portfolio's market capitalization distribution is skewed towards Big and Mega-cap stocks, comprising 26% and 11%, respectively. This focus on larger companies can offer stability and liquidity but may limit exposure to the potentially higher growth of small and mid-cap stocks. To achieve a more balanced risk-return profile, consider increasing allocation to smaller companies, which often provide higher growth potential. Diversifying across market capitalizations can enhance overall portfolio resilience and offer opportunities for capturing gains in various market segments.

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.

Open the Portfolio Builder Reshape your holdings and watch every metric recalculate live. Try it

The portfolio's risk-return profile could potentially be optimized using the Efficient Frontier, a concept that identifies the best possible trade-off between risk and return. By adjusting allocations among existing holdings, you might achieve a more favorable balance without changing the portfolio's overall composition. However, it's important to note that optimization is based solely on current assets and doesn't account for broader diversification needs. Regularly reassessing your portfolio's efficiency can help ensure it remains aligned with your risk tolerance and investment objectives.

Dividends Info

  • iShares U.S. Financials ETF 0.70%
  • Invesco NASDAQ 100 ETF 0.70%
  • Schwab U.S. Dividend Equity ETF 4.20%
  • Weighted yield (per year) 1.22%

The portfolio's dividend yield is relatively low at 1.22%, with the Schwab U.S. Dividend Equity ETF contributing the most at 4.20%. This indicates a focus on growth over income generation. For investors seeking regular income, this yield may be insufficient. To enhance income potential, consider increasing exposure to high-dividend stocks or dividend-focused funds. Balancing growth and income can provide a more stable cash flow and reduce reliance on capital gains for returns, aligning with a broader range of investment goals.

Ongoing product costs Info

  • iShares Bitcoin Trust 0.12%
  • iShares U.S. Financials ETF 0.40%
  • Invesco NASDAQ 100 ETF 0.15%
  • Schwab U.S. Dividend Equity ETF 0.06%
  • Weighted costs total (per year) 0.13%

The portfolio's total expense ratio (TER) is impressively low at 0.13%, which is beneficial for long-term performance. Lower costs mean more of your investment returns stay in your pocket, compounding over time. This efficient cost structure supports better net returns, especially in volatile markets. While costs are well-managed, it's important to continue monitoring expense ratios and seek opportunities to reduce them further. Regularly review fund fees to ensure they remain competitive and align with your investment strategy.

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

Compare your holdings

How much do the funds you hold actually overlap with the ones people weigh them against?

QQQM vs SWPPX DRAM vs QQQM SCHD vs SGOV AVUV vs QQQM

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