Roast mode 🔥

A portfolio that loves its comfort zone a bit too much and shies away from global adventures

Risk 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.

What type of investor this portfolio is suitable for

Growth Investors

This portfolio suits someone who loves the illusion of safety and is content with watching paint dry if it means avoiding risk. It's for the investor who thinks a diversified portfolio means having both vanilla and French vanilla ice cream in the freezer. High on predictability and low on adventure, it's perfect for those who consider a walk in the park to be enough excitement for one day.

Positions

  • Schwab U.S. Large-Cap ETF
    SCHX - US8085242019
    40.00%
  • Schwab International Equity ETF
    SCHF - US8085248057
    25.00%
  • Berkshire Hathaway Inc
    BRK-B - US0846707026
    10.00%
  • Schwab U.S. Large-Cap Growth ETF
    SCHG - US8085243009
    10.00%
  • Invesco PHLX Semiconductor ETF
    SOXQ - US46138G6153
    10.00%
  • Schwab U.S. Small-Cap ETF
    SCHA - US8085246077
    5.00%

At first glance, this portfolio screams "safety first" with its heavy lean on big, cuddly large-caps and a hefty 40% in just one ETF. It's like putting all your eggs in one basket and then deciding to sit on the basket just to be extra safe. The attempt at diversification is commendable but let's face it, with such a lopsided allocation, it's like trying to balance a seesaw with a feather on one end and an elephant on the other.

Growth Info

With a historic CAGR of 11.87%, it's like the portfolio is running on a treadmill; impressive effort but not really going anywhere spectacular. Sure, it's outpacing inflation, but in the grand scheme of things, it's like winning a race against a snail — technically a victory, but hardly a cause for celebration. The max drawdown of -27.80% is a stark reminder that even the most careful portfolios can trip over their shoelaces.

Projection Info

Monte Carlo simulations offer a glimpse into the future, and for this portfolio, it's like predicting the weather with a magic 8-ball. Sure, there's a chance of sunny skies with a 294.3% median increase, but let's not forget the 5th percentile showing a -9.1% potential downpour. Betting on this for retirement is akin to planning a picnic with a chance of thunderstorms.

Asset classes Info

  • Stocks
    100%
  • Cash
    0%
  • Bonds
    0%
  • Other
    0%
  • No data
    0%

All in on stocks, huh? This portfolio's attitude towards asset class diversification is like wearing flip-flops year-round; it works until the first snowfall. Without bonds, cash, or "other" to cushion the fall, it's a high-wire act without a net. Sure, stocks have their allure, but a little variety could prevent a cold awakening.

Sectors Info

  • Technology
    32%
  • Financials
    23%
  • Industrials
    9%
  • Consumer Discretionary
    8%
  • Health Care
    8%
  • Telecommunications
    6%
  • Consumer Staples
    4%
  • Energy
    3%
  • Basic Materials
    3%
  • Real Estate
    2%
  • Utilities
    2%

The sector allocation is like a diet consisting mainly of bread and water, with a sprinkle of vitamins. Heavy on tech and financial services, it's feasting during a bull market but could starve in a downturn. And with such minimal exposure to sectors like utilities and real estate, it's neglecting its vegetables.

Regions Info

  • North America
    76%
  • Europe Developed
    14%
  • Japan
    5%
  • Asia Developed
    3%
  • Australasia
    2%
  • Africa/Middle East
    0%
  • Europe Emerging
    0%
  • Asia Emerging
    0%
  • Latin America
    0%

North America at 76%? This portfolio has a home bias thicker than a deep-dish pizza. It's like planning a world tour and only visiting Canada. Diversifying across more geographies could be like adding a few more stamps to the passport, potentially smoothing out the ride and adding some exotic flavors to the mix.

Market capitalization Info

  • Mega-cap
    50%
  • Large-cap
    28%
  • Mid-cap
    15%
  • Small-cap
    5%
  • Micro-cap
    2%

Mega and big caps galore, this portfolio is like a kid who only plays with the biggest toys, thinking they're the safest. Sure, they might not break as easily, but ignoring the small and micro caps is like skipping the agility drills — it might just miss out on some nimble moves and quick gains.

Redundant positions Info

  • Schwab U.S. Large-Cap Growth ETF
    Schwab U.S. Large-Cap ETF
    High correlation

The love story between the Schwab U.S. Large-Cap Growth ETF and the Schwab U.S. Large-Cap ETF is like a romantic comedy that's too predictable. High correlation means when one stumbles, the other is likely to fall too, making the diversification effort look more like a dance routine performed in unison rather than a robust strategy.

Dividends Info

  • Schwab U.S. Small-Cap ETF 1.50%
  • Schwab International Equity ETF 2.60%
  • Schwab U.S. Large-Cap Growth ETF 0.40%
  • Schwab U.S. Large-Cap ETF 1.20%
  • Invesco PHLX Semiconductor ETF 0.60%
  • Weighted yield (per year) 1.30%

With a total yield of 1.30%, this portfolio's dividend strategy is like finding loose change under the sofa cushions; it's a nice surprise but hardly a game-changer. It's like relying on birthday money as a significant part of your income. A bit more focus on income-generating assets could provide a steadier cash flow, not just a once-in-a-while treat.

Ongoing product costs Info

  • Schwab U.S. Small-Cap ETF 0.04%
  • Schwab International Equity ETF 0.06%
  • Schwab U.S. Large-Cap Growth ETF 0.04%
  • Schwab U.S. Large-Cap ETF 0.03%
  • Invesco PHLX Semiconductor ETF 0.19%
  • Weighted costs total (per year) 0.05%

Here's a silver lining — the costs are tighter than a new pair of jeans, with a Total TER of just 0.05%. It's like finding an all-you-can-eat buffet that's actually good and doesn't break the bank. Kudos on keeping the fees low; at least the money saved can go towards buying a bit more excitement elsewhere in the portfolio.

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.

This portfolio's idea of optimization is like rearranging deck chairs on the Titanic; it's missing the point. The high correlation between some assets is a glaring oversight, like wearing sunglasses at night. Before even thinking about the Efficient Frontier, it's time to declutter and bring in assets that actually dance to different tunes.

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