A growth-focused portfolio with a strong lean towards large-cap US equities and moderate global diversification

Report created on Oct 19, 2025

Risk profile Info

5/7
Growth
Less risk More risk

Diversification profile Info

3/5
Moderately Diversified
Less diversification More diversification

Positions

The portfolio is predominantly invested in equities, with a significant 66.5% allocation to a Vanguard S&P 500 ETF, underscoring a strong emphasis on large-cap US stocks. The inclusion of specialized ETFs like the Avantis® U.S. Small Cap Value ETF, Invesco International BuyBack Achievers ETF, and Invesco S&P MidCap Quality ETF adds layers of diversification across market capitalizations and international exposure. However, the bond allocation is minimal at 5%, indicating a growth-oriented strategy with a higher risk tolerance. The portfolio's composition suggests a deliberate focus on capital appreciation over income, leveraging the historical performance of large-cap equities and targeted diversification to mitigate risks.

Growth Info

With a Compound Annual Growth Rate (CAGR) of 15.92% and a maximum drawdown of -34.35%, the portfolio showcases robust growth potential tempered by significant volatility. The days contributing to 90% of returns being so few highlights the impact of extreme positive market movements on overall performance. While the strong CAGR is indicative of successful past strategies, the sizable drawdown points to potential vulnerability during market downturns. Comparing these metrics to benchmarks could provide further insight into performance relative to market averages.

Projection Info

Using Monte Carlo simulations, which forecast future performance by analyzing historical data to generate a range of outcomes, the portfolio shows a wide spread of potential futures. With 975 out of 1,000 simulations predicting positive returns and a median projected annualized return of 14.10%, the forward outlook remains optimistic. However, it's crucial to remember that these projections are speculative and depend on past market behavior, which is not a reliable indicator of future performance.

Asset classes Info

  • Stocks
    95%
  • Bonds
    5%

The heavy tilt towards stocks (95%) aligns with the portfolio's growth-oriented risk profile, leveraging the higher potential returns of equities over bonds. This allocation underscores a readiness to accept short-term volatility for long-term gains. However, the minimal bond holding (5%) offers limited cushioning against equity market downturns, suggesting a need for careful monitoring and possibly a slight increase in bond allocation to mitigate risk without significantly dampening growth prospects.

Sectors Info

  • Technology
    25%
  • Financials
    17%
  • Consumer Discretionary
    12%
  • Industrials
    11%
  • Health Care
    8%
  • Telecommunications
    7%
  • Energy
    5%
  • Consumer Staples
    5%
  • Basic Materials
    2%
  • Utilities
    2%
  • Real Estate
    1%

The sectoral allocation reveals a concentration in Technology, Financial Services, and Consumer Cyclicals, which are sectors often associated with higher growth but also higher volatility. This concentration enhances the portfolio's growth potential but may increase susceptibility to sector-specific downturns. Diversifying into more defensive sectors like Healthcare or Consumer Defensive could provide stability during market fluctuations without drastically altering the growth trajectory.

Regions Info

  • North America
    86%
  • Europe Developed
    6%
  • Japan
    2%
  • Asia Emerging
    1%
  • Asia Developed
    1%

With 86% of assets allocated to North America and limited exposure to emerging and developed markets outside of the US, the portfolio's geographic diversification is moderate. While this concentration capitalizes on the robust US market, it also exposes the portfolio to regional economic and political risks. Expanding international exposure, particularly in developed Europe and Asia, could enhance global diversification, potentially reducing volatility and tapping into growth opportunities abroad.

Market capitalization Info

  • Mega-cap
    34%
  • Large-cap
    27%
  • Mid-cap
    17%
  • Small-cap
    12%
  • Micro-cap
    5%

The market capitalization breakdown shows a balanced exposure across mega, big, and medium-sized companies, with a modest allocation towards small and micro-cap stocks. This spread balances the stability of large-cap stocks with the growth potential of smaller companies. However, given the portfolio's growth orientation, increasing exposure to small and micro-cap stocks, known for their higher growth potential, could further enhance returns, albeit with increased risk.

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, which aims to maximize returns for a given level of risk, the portfolio appears well-positioned but may benefit from slight adjustments. Rebalancing towards assets or classes with lower correlation could enhance the risk-return profile, moving the portfolio closer to the optimal point on the Efficient Frontier. This optimization process, while based on current allocations, should be revisited periodically to adapt to changing market conditions and investment goals.

Dividends Info

  • Avantis® U.S. Small Cap Value ETF 1.70%
  • Vanguard Total Bond Market Index Fund ETF Shares 3.80%
  • Invesco International BuyBack Achievers ETF 3.40%
  • Vanguard S&P 500 ETF 1.20%
  • Invesco S&P MidCap Quality ETF 0.60%
  • Weighted yield (per year) 1.53%

With a total dividend yield of 1.53%, the portfolio leans more towards capital appreciation than income generation. This yield, while modest, complements the growth strategy by reinvesting dividends to compound growth. Investors prioritizing growth over immediate income are well-aligned with this strategy, though those seeking higher income might consider reallocating towards assets with higher dividend yields without significantly compromising growth potential.

Ongoing product costs Info

  • Avantis® U.S. Small Cap Value ETF 0.25%
  • Vanguard Total Bond Market Index Fund ETF Shares 0.03%
  • Invesco International BuyBack Achievers ETF 0.55%
  • Vanguard S&P 500 ETF 0.03%
  • Invesco S&P MidCap Quality ETF 0.25%
  • Weighted costs total (per year) 0.12%

The portfolio's total expense ratio (TER) of 0.12% is impressively low, maximizing the potential for net returns. Keeping costs low is crucial for long-term investment success, as even small differences in fees can significantly impact compounded returns over time. This cost efficiency is a strong aspect of the portfolio, supporting better performance relative to more expensive alternatives.

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