A cautiously diversified portfolio balancing global equities and stable assets for moderate risk investors

Report created on May 11, 2025

Risk profile Info

3/7
Cautious
Less risk More risk

Diversification profile Info

5/5
Highly Diversified
Less diversification More diversification

Positions

Your portfolio is a well-structured blend of global equities, emerging markets, technology stocks, government bonds, and physical gold. This diversification spans across various asset classes and geographic regions, with a significant portion allocated to equities (79%), followed by bonds and commodities. Such a composition aligns with a cautious investment strategy, aiming to balance growth potential with risk mitigation through exposure to stable, income-generating assets like bonds and gold.

Growth Info

Historically, your portfolio has achieved a Compound Annual Growth Rate (CAGR) of 8.99%, with a maximum drawdown of -20.15%. These figures suggest a resilient performance across market cycles, with the ability to recover from downturns. The days contributing most significantly to returns highlight the portfolio's sensitivity to market highs, underscoring the importance of staying invested over the long term to capture peak performance periods.

Projection Info

Monte Carlo simulations, which use historical data to forecast future outcomes, suggest a wide range of potential portfolio performances. With 92.8% of simulations projecting positive returns, the median outcome of a 177% increase is promising. However, the presence of scenarios with negative returns highlights the inherent uncertainties in investing, emphasizing the need for a well-diversified portfolio and a long-term perspective.

Asset classes Info

  • Stocks
    79%
  • Other
    11%
  • Bonds
    10%

Your allocation across asset classes is strategic, with a heavy emphasis on stocks for growth, complemented by bonds and commodities for stability and inflation protection. This mix supports a moderate risk profile by offering the potential for capital appreciation through equities, while bonds and gold can provide income and act as a hedge against volatility and inflation, respectively.

Sectors Info

  • Technology
    20%
  • Financials
    14%
  • Consumer Discretionary
    9%
  • Industrials
    8%
  • Telecommunications
    7%
  • Health Care
    6%
  • Consumer Staples
    5%
  • Basic Materials
    3%
  • Energy
    3%
  • Real Estate
    2%
  • Utilities
    2%

The sectoral allocation within your portfolio is well-diversified, with technology, financial services, and consumer cyclicals leading. This distribution reflects a focus on growth sectors like technology, while maintaining exposure to more stable, defensive sectors such as healthcare and consumer staples. This balance is crucial for mitigating sector-specific risks and capitalizing on different economic cycles.

Regions Info

  • North America
    43%
  • Europe Developed
    17%
  • Asia Emerging
    9%
  • Asia Developed
    4%
  • Japan
    3%
  • Africa/Middle East
    2%
  • Latin America
    1%
  • Australasia
    1%

Geographically, your portfolio is heavily weighted towards North America and developed European markets, with emerging markets constituting a smaller fraction. This allocation benefits from the stability and growth potential in developed markets while still capturing the higher growth prospects of emerging economies. However, considering the evolving global economic landscape, there may be room to reassess this balance to ensure optimal geographic diversification.

Market capitalization Info

  • Mega-cap
    34%
  • Large-cap
    24%
  • No data
    20%
  • Mid-cap
    14%
  • Small-cap
    4%

The market capitalization breakdown shows a lean towards mega and large-cap stocks, which typically offer stability and lower volatility compared to their smaller counterparts. This is in line with the cautious risk profile of the portfolio. However, the inclusion of medium and small-cap stocks, albeit in smaller proportions, introduces growth potential and diversification benefits, balancing the risk-return profile.

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 suggests your portfolio is positioned near the optimal risk-return ratio given its current asset allocation. This indicates you're achieving a good balance between risk and potential rewards. However, continuous review and slight adjustments can further refine this balance, especially in response to changing market conditions and personal financial goals.

Ongoing product costs Info

  • iShares Core MSCI Emerging Markets IMI UCITS 0.18%
  • Invesco EQQQ NASDAQ-100 UCITS ETF 0.35%
  • iShares Global Government Bond UCITS 0.20%
  • iShares Physical Gold ETC 0.25%
  • Vanguard FTSE 250 UCITS 0.43%
  • Vanguard FTSE All-World UCITS ETF USD Accumulation 0.22%
  • Weighted costs total (per year) 0.25%

With a Total Expense Ratio (TER) averaging 0.25%, your portfolio's costs are within a reasonable range, especially given the diversification and potential benefits of the selected ETFs. Keeping costs low is crucial for maximizing long-term returns, as even small differences in fees can compound significantly over time.

What next?

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