Sensible two fund setup that still manages to leave free return lying on the table
Report created on Mar 27, 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
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VO Vanguard S&P 500 ETF
VOO - US9229083632 71.43% -
VX Vanguard Total International Stock Index Fund ETF Shares
VXUS - US9219097683 28.57%
This is the Ikea starter kit of portfolios: two funds slapped together and called a day. Structurally, it’s 70% home bias comfort blanket and 30% “fine I’ll buy the rest of the world too.” It’s simple, clean, and honestly hard to screw up, but it also screams, “I Googled ‘lazy portfolio’ once and stopped there.” There’s no bond ballast, no intentional tilt, just pure equity beta on tap. For someone labeled “balanced,” this is actually full‑equity cosplay. Takeaway: the structure is fine, but don’t pretend this is a cautious setup. It’s a stock portfolio dressed in a slightly responsible T‑shirt.
Growth
Historically, this thing has done exactly what a global-ish stock portfolio riding the US boom would do: $1,000 became $3,310 with a 13.51% CAGR. CAGR (Compound Annual Growth Rate) is basically your average speed over a long, bumpy road trip. You slightly trailed the US market by 0.51% a year, which is the price of letting non‑US stocks sit at the table, but you beat the global market by a chunky 2.05% a year. Max drawdown at about -34% shows this is no gentle ride. Past data is yesterday’s weather: useful, but it doesn’t swear tomorrow won’t throw hailstones.
Asset classes
- Stocks 100%
Asset classes: 100% stocks, 0% anything else. For a “balanced” risk label, this is like calling an energy drink “hydrating.” No bonds, no cash sleeve, no diversifiers — just pure equity exposure across the globe, with all the thrills and occasional nausea that brings. That’s not inherently wrong; it’s just not remotely balanced in the traditional sense. In real life terms, it means you’ve signed up for big swings and are trusting time and global capitalism to bail you out. Takeaway: if someone wants smoother rides, they usually add safer stuff; this opted for full roller coaster.
Sectors
- Technology 28%
- Financials 15%
- Industrials 11%
- Consumer Discretionary 10%
- Health Care 9%
- Telecommunications 9%
- Consumer Staples 5%
- Energy 4%
- Basic Materials 4%
- Utilities 3%
- Real Estate 2%
Sector-wise, this portfolio is clearly tech‑curious, with technology sitting at 28% and a decent chunk in financials and industrials. This is basically “market beta with a tech caffeine shot” — not a single‑sector obsession, but definitely leaning into what’s driven most of global returns lately. The rest of the sectors exist, but they’re side characters, not protagonists. That’s the catch: when you hug cap‑weighted indexes, you’re also hugging whatever sector is currently bloated by success. Takeaway: you’re not absurdly overexposed, but you are relying on tech and friends staying at least somewhat shiny.
Regions
- North America 73%
- Europe Developed 11%
- Japan 4%
- Asia Developed 4%
- Asia Emerging 4%
- Australasia 1%
- Africa/Middle East 1%
- Latin America 1%
Geography screams “USA first, everyone else can share what’s left.” About 73% in North America, with Europe, Japan, and the rest sprinkled like seasoning. For a US‑based investor, this is textbook home bias with a conscience — you know the rest of the world exists, you just don’t trust it with the steering wheel. That works brilliantly when US markets dominate, less so if leadership rotates elsewhere. Takeaway: it’s globally flavored but US‑centric; fine for many, but not exactly a bet on broad global convergence. “America or mostly America” would be the honest label.
Market capitalization
- Mega-cap 46%
- Large-cap 33%
- Mid-cap 17%
- Small-cap 2%
Market cap exposure is very “index standard”: about 46% mega‑caps, 33% large‑caps, a polite 17% mid‑caps, and a token 2% small‑caps. In plain English, you’re mostly buying the giants that already won, plus a decent basket of still‑big companies, and barely any scrappy underdogs. That keeps volatility somewhat in check but also means you’re not really fishing in the pond where future monsters often start. No deliberate tilt here — just whatever the market decided was big enough. Takeaway: it’s safe from a “no crazy micro‑cap lottery tickets” perspective, but also not particularly imaginative.
True holdings
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NV NVIDIA Corporation 5.23%
Part of fund(s):- Vanguard S&P 500 ETF
-
AA Apple Inc 4.74%
Part of fund(s):- Vanguard S&P 500 ETF
-
MS Microsoft Corporation 3.54%
Part of fund(s):- Vanguard S&P 500 ETF
-
AM Amazon.com Inc 2.48%
Part of fund(s):- Vanguard S&P 500 ETF
-
GO Alphabet Inc Class A 2.20%
Part of fund(s):- Vanguard S&P 500 ETF
-
AV Broadcom Inc 1.84%
Part of fund(s):- Vanguard S&P 500 ETF
-
GO Alphabet Inc Class C 1.76%
Part of fund(s):- Vanguard S&P 500 ETF
-
ME Meta Platforms Inc. 1.71%
Part of fund(s):- Vanguard S&P 500 ETF
-
TS Tesla Inc 1.37%
Part of fund(s):- LS 1x Tesla Tracker ETP Securities GBP
- Vanguard S&P 500 ETF
-
BR Berkshire Hathaway Inc 1.12%
Part of fund(s):- Vanguard S&P 500 ETF
- Top 10 total 25.99%
The look‑through list reads like the Magnificent Seven fan club with a Berkshire chaperone. NVIDIA, Apple, Microsoft, Amazon, Alphabet (twice, because of course), Meta, Tesla — all here, all doing the heavy lifting. You’re pretending to hold thousands of stocks, but a big chunk of your excitement is riding on the same usual giants every index junkie owns. And that’s just from the top‑10 data, which likely understates the overlap. Overlap means the same company appears via multiple funds, quietly concentrating risk. Takeaway: it’s diversified on paper, but the party is still run by a small VIP tech table.
Factors
Factor exposure shows a big lean toward low volatility (70%) and a notable chunk of momentum (40%). Factors are like the flavor profile of your portfolio — the underlying traits that explain how it behaves: cheap vs pricey, big vs small, trendy vs boring, etc. Here, you’ve accidentally built a “calm-ish but trend-following” creature. Leaning into momentum while also tilting to low vol is like driving fast but only on well‑paved roads. Not a bad combo, just very index‑era mainstream. Takeaway: in rough markets, low vol can help a bit, but in euphoric mania or deep crashes, you’re still along for the ride.
Risk contribution
-
Vanguard S&P 500 ETF
Weight: 71.43% 73.9% -
Vanguard Total International Stock Index Fund ETF Shares
Weight: 28.57% 26.1%
Risk contribution-wise, the S&P 500 ETF is the loud roommate here: 71% of the weight, almost 74% of the risk. Risk contribution measures who’s actually shaking the portfolio, not just who’s on the rent contract. The international ETF pulls less than its weight in risk, which is quietly respectable. Nothing is punching absurdly above its weight, but you have effectively crowned the US mega‑cap complex as your main volatility driver. Takeaway: if someone wanted to tweak the emotional roller coaster, shifting a bit more weight toward the calmer or less correlated side could move the needle without changing holdings.
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, you’re below the optimal portfolio, which is the annoying way of saying: “Nice job, but you left some free upside on the table.” The optimal mix of your two existing funds bumps expected return from 13.35% to 14.81% with only a small extra nudge in risk. The Sharpe ratio — return per unit of risk, like how far your car goes per gallon — jumps from 0.66 to 0.77. Translation: same ingredients, better recipe. You’re not a disaster, just slightly inefficient. Reweighting these two funds alone could squeeze more juice out of the same orange.
Dividends
- Vanguard S&P 500 ETF 1.20%
- Vanguard Total International Stock Index Fund ETF Shares 3.00%
- Weighted yield (per year) 1.71%
Dividend yield around 1.71% is politely saying, “You’re here for growth, not a paycheck.” One fund throws out about 1.2%, the other about 3%, and together they land in the “decent but hardly income-focused” zone. This is fine — high yield isn’t free and often comes with baggage — but anyone dreaming of living off this yield alone will quickly rediscover employment. Dividends are just one component of return; capital gains are clearly expected to do the heavy lifting here. Takeaway: use this more for compounding and reinvestment, not as a primary cash faucet.
Ongoing product costs
- Vanguard S&P 500 ETF 0.03%
- Vanguard Total International Stock Index Fund ETF Shares 0.05%
- Weighted costs total (per year) 0.04%
Costs are hilariously low — total TER of 0.04%. That’s basically index investing on clearance. You’re paying almost nothing for broad global exposure, which is one of the few areas where almost no roasting is deserved. Think of TER (Total Expense Ratio) as the membership fee to sit at the investing table; yours is closer to a loose couch‑cushion coin than a real bill. Takeaway: fees are not your problem here. If returns disappoint, it won’t be because Vanguard robbed you; it’ll be because markets were rude or the allocation could be sharpened.
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