Global equity portfolio with strong international tilt and broadly diversified sectors and regions
Report created on Apr 29, 2026Risk profile
4/7
Diversification profile
4/5
Positions
-
VX Vanguard Total International Stock Index Fund ETF Shares
VXUS - US9219097683 86.96% -
VO Vanguard S&P 500 ETF
VOO - US9229083632 13.04%
This portfolio is a very simple two‑ETF setup that is still highly diversified under the surface. Around 87% sits in a total international stock ETF, while about 13% is in a broad US large‑cap ETF following a major US index. So structurally it is 100% in stocks and almost entirely in low‑cost index funds. This kind of structure matters because a small number of funds can still provide exposure to thousands of companies worldwide. The mix also leans more toward non‑US stocks than a typical global market portfolio, which usually has a larger US share. That international emphasis shapes both return behavior and currency exposure.
Growth
Over the period shown, a hypothetical $1,000 in this portfolio grew to $2,617, which is a compound annual growth rate (CAGR) of 10.13%. CAGR is like your average “speed” over the whole journey, smoothing out bumps along the way. The max drawdown was about -34.5%, similar in depth to the benchmarks’ drawdowns during early 2020. However, the portfolio lagged both the US market (by 4.82% annually) and the global market (by 2.12% annually). That underperformance mainly reflects the stronger run US stocks had relative to international stocks in this decade, not necessarily a flaw in the portfolio’s design.
Projection
The forward projection uses a Monte Carlo simulation, which basically reruns many possible futures using patterns from past returns and volatility. Here, 1,000 paths over 15 years suggest a median outcome of about $2,836 from $1,000, with a wide “likely” band between roughly $1,772 and $4,494. The annualized return across all simulations is 8.32%, lower than the historical CAGR, reflecting some caution baked into the model. These ranges are not predictions; they’re illustrations of what could happen if markets behaved in similar ways to the past. Real‑world outcomes can land outside these bands, especially during rare or extreme events.
Asset classes
- Stocks 100%
All of this portfolio is in stocks, with 0% in bonds, cash, or alternative assets. That’s why the risk classification shows a mid‑high risk score and a “Balanced Investors” label despite no bonds: the balance here is within global equities, not across different asset types. A 100% equity allocation usually means larger swings in value, but it also captures the full growth potential of stocks over long periods. Compared to many blended portfolios that mix bonds and stocks, this one will likely be more volatile. The upside is clean, simple exposure to the global equity risk premium; the trade‑off is limited cushioning during market drawdowns.
Sectors
- Financials 21%
- Technology 18%
- Industrials 15%
- Consumer Discretionary 9%
- Health Care 8%
- Basic Materials 7%
- Telecommunications 5%
- Consumer Staples 5%
- Energy 5%
- Utilities 3%
- Real Estate 3%
The portfolio’s sector split is broadly diversified, with no single sector dominating. Financials are the largest at 21%, followed by technology (18%) and industrials (15%), then a good spread across consumer, health care, materials, telecom, energy, utilities, and real estate. This looks reasonably similar to many global indices, which is a positive sign for diversification. Sector diversification matters because different parts of the economy lead at different times. For example, tech‑heavy portfolios can soar in low‑rate environments but may be more sensitive when rates rise. Here, the mix reduces the odds that one sector’s cycle alone will drive overall portfolio behavior.
Regions
- Europe Developed 32%
- North America 21%
- Japan 13%
- Asia Developed 13%
- Asia Emerging 12%
- Australasia 4%
- Africa/Middle East 3%
- Latin America 2%
- Europe Emerging 1%
Geographically, the portfolio leans strongly toward non‑US markets, with Europe Developed at 32% and North America at 21%. Japan and other developed Asian markets together add another chunk, while emerging Asia, Latin America, and Africa/Middle East provide meaningful but smaller slices. A typical world market index is much more US‑heavy, so this structure intentionally tilts away from the US and towards the rest of the world. That can be beneficial for diversification because economies and currencies outside the US follow different cycles. The flip side is that if US stocks outperform as they did over the last decade, this portfolio can lag US‑centric benchmarks.
Market capitalization
- Mega-cap 46%
- Large-cap 31%
- Mid-cap 17%
- Small-cap 3%
By market capitalization, the portfolio is anchored in large companies: about 46% in mega‑caps, 31% in large‑caps, 17% in mid‑caps, and 3% in small‑caps. Market cap describes a company’s size on the stock market, and bigger firms often have more stable earnings and easier access to capital. A large‑cap tilt tends to reduce volatility compared with a small‑cap‑heavy portfolio, but it may miss some of the faster growth that smaller companies sometimes deliver. This breakdown is fairly close to global index norms, which means the size exposure is broadly market‑like and doesn’t introduce big extra risk in either direction.
True holdings
-
23 Taiwan Semiconductor Manufacturing Co. Ltd. 3.00%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
-
SS Samsung Electronics Co Ltd 1.17%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
-
AS ASML Holding N.V. 1.10%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
-
NV NVIDIA Corporation 0.99%
Part of fund(s):- Vanguard S&P 500 ETF
-
AA Apple Inc 0.87%
Part of fund(s):- Vanguard S&P 500 ETF
-
07 Tencent Holdings Ltd 0.83%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
-
00 SK Hynix Inc 0.65%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
-
MS Microsoft Corporation 0.64%
Part of fund(s):- Vanguard S&P 500 ETF
-
AZ AstraZeneca PLC 0.63%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
-
NO Novartis AG 0.63%
Part of fund(s):- Vanguard Total International Stock Index Fund ETF Shares
- Top 10 total 10.52%
The look‑through data only covers ETF top‑10 holdings, so it sees about 15% of the portfolio. Within that slice, the largest underlying positions include Taiwan Semiconductor, Samsung, ASML, NVIDIA, Apple, Tencent, and other global blue‑chips. Several of these are major technology or semiconductor names, but they appear only once in the list, so evident overlap across funds is limited. Actual overlap is likely higher because only the top‑10 positions per ETF are visible. Still, there is no sign of one single company dominating total exposure, which suggests that idiosyncratic risk from any one stock is diluted across many holdings.
Factors
Factor exposure here is mostly neutral, meaning the portfolio behaves broadly like the overall market in value, size, momentum, and quality terms. Two factors stand out: yield at 63% and low volatility at 69%, both described as “High.” Factor exposure is like seeing which ingredients are more prominent in the portfolio’s recipe. A higher yield tilt suggests a tendency toward stocks that pay above‑average dividends. A higher low‑volatility tilt indicates some preference for stocks that historically had smaller price swings. Together, these tilts often mean a smoother ride and more of total return coming from income, though they can lag during sharp growth‑led rallies.
Risk contribution
-
Vanguard Total International Stock Index Fund ETF Shares
Weight: 86.96% 87.7% -
Vanguard S&P 500 ETF
Weight: 13.04% 12.3%
Risk contribution measures how much each holding adds to the portfolio’s overall ups and downs, which can differ from its weight. Here, the relationship is almost one‑to‑one: the international ETF is about 87% of the weight and roughly 88% of the risk; the US ETF is 13% of the weight and 12% of the risk. That alignment tells you that neither fund is dramatically more volatile than the other on a relative basis. It also confirms that the international ETF is the main driver of portfolio risk and return simply because it dominates the allocation. Any changes to overall behavior would largely come through that position.
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 compares the current portfolio to the best possible mix using just these two ETFs. The current portfolio has a Sharpe ratio of 0.41, below both the minimum‑variance mix (0.66) and the max‑Sharpe mix (0.82). The Sharpe ratio is a simple “bang for your buck” measure: how much excess return you get per unit of risk. At its current risk level, the portfolio sits about 2.1 percentage points below the frontier, meaning that a different weighting of the same two funds could historically have delivered better risk‑adjusted returns. The main message is about efficiency, not about changing the underlying building blocks.
Dividends
- Vanguard S&P 500 ETF 1.10%
- Vanguard Total International Stock Index Fund ETF Shares 2.80%
- Weighted yield (per year) 2.58%
The combined dividend yield is 2.58%, with the international ETF at 2.80% and the US ETF at 1.10%. Dividend yield is the annual cash paid out as a percentage of the current price, and it can be a meaningful part of total return over long periods. The slightly higher yield on the international side reflects differences in payout norms between markets. A portfolio with a yield tilt, as the factor data also indicated, tends to rely more on dividends and less on pure price appreciation for overall growth. That can help provide a more stable income stream, though dividends themselves can still fluctuate over time.
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) 0.05%
The cost profile here is impressively low. The total expense ratio (TER) of the portfolio is about 0.05% per year, with 0.03% on the US ETF and 0.05% on the international ETF. TER is the annual fee the fund company charges for managing the ETF, expressed as a percentage of the invested amount. For every $1,000 invested, that’s roughly 50 cents a year in fund fees, before any trading costs or taxes. Low costs matter because they come off returns every single year and compound over time. This fee level is very much aligned with best‑in‑class passive index investing practices.
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