A balanced and highly diversified portfolio with a strategic focus on growth and stability

Report created on Aug 21, 2025

Risk profile Info

4/7
Balanced
Less risk More risk

Diversification profile Info

5/5
Highly Diversified
Less diversification More diversification

Positions

This portfolio exhibits a balanced mix of equity ETFs with a strategic inclusion of a commodity ETF, notably gold, to enhance diversification and manage risk. The allocation spans across major sectors and geographies, with a significant emphasis on technology and financial services. The presence of both U.S. and international equities, alongside a commodity component, suggests a well-considered approach to achieving growth while mitigating volatility through diversification.

Growth Info

Historically, the portfolio has shown impressive growth with a Compound Annual Growth Rate (CAGR) of 19.87%. The maximum drawdown, a measure of the largest single drop from peak to trough, was -15.03%, indicating a relatively resilient performance during market downturns. The days contributing to 90% of the returns highlight the portfolio's capacity for significant gains within short periods, a characteristic of growth-oriented investments.

Projection Info

Using Monte Carlo simulations, which project future performance based on historical data, this portfolio shows a wide range of potential outcomes. The median projection suggests a substantial increase, with the 50th percentile at a 1,400.2% return. It's crucial to remember, however, that these projections are speculative and depend on historical market behaviors, which may not predict future movements accurately.

Asset classes Info

  • Stocks
    89%
  • Other
    10%
  • Cash
    1%

The portfolio's asset class distribution, with 89% in stocks and 10% in other (primarily gold), alongside a minimal cash holding, aligns with a growth-focused strategy. This allocation supports potential high returns but comes with higher volatility. The inclusion of gold as a diversifying asset can serve as a hedge against inflation and market volatility.

Sectors Info

  • Technology
    26%
  • Financials
    12%
  • Consumer Discretionary
    10%
  • Industrials
    9%
  • Telecommunications
    8%
  • Health Care
    8%
  • Consumer Staples
    7%
  • Energy
    5%
  • Basic Materials
    3%
  • Utilities
    2%
  • Real Estate
    1%

Sector allocation is heavily weighted towards technology and financial services, followed by consumer cyclicals and industrials. This concentration in high-growth sectors can lead to higher volatility but also offers the potential for substantial returns. Diversification across sectors is crucial for managing risk and should be periodically reviewed to ensure alignment with market trends and investment goals.

Regions Info

  • North America
    61%
  • Europe Developed
    12%
  • Japan
    5%
  • Asia Emerging
    5%
  • Asia Developed
    4%
  • Australasia
    1%
  • Africa/Middle East
    1%
  • Latin America
    1%

Geographic distribution shows a strong bias towards North America, complemented by exposure to developed European markets, Japan, and emerging markets in Asia. This global exposure enhances diversification, potentially reducing risk and capturing growth across different economic cycles. However, the underrepresentation of certain regions, like Latin America and Africa/Middle East, may limit exposure to emerging market growth opportunities.

Market capitalization Info

  • Mega-cap
    36%
  • Large-cap
    31%
  • Mid-cap
    17%
  • No data
    10%
  • Small-cap
    3%

The portfolio's market capitalization exposure leans heavily towards mega and large-cap stocks, which tend to be more stable and less volatile than smaller companies. While this may support portfolio stability, incorporating a broader range of medium, small, and micro-cap stocks could enhance growth potential and diversification.

Redundant positions Info

  • American Century ETF Trust
    Vanguard Total International Stock Index Fund ETF Shares
    High correlation
  • Vanguard S&P 500 ETF
    Schwab U.S. Large-Cap Growth ETF
    Invesco NASDAQ 100 ETF
    High correlation

The analysis reveals high correlation within certain asset groups, particularly among U.S. equity ETFs. High correlation between assets can limit the benefits of diversification, as these investments tend to move in the same direction under market stress. Reducing overlap and exploring less correlated assets could enhance portfolio resilience.

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 portfolio's current configuration shows potential for optimization, particularly by addressing asset correlation and rebalancing towards a more efficient risk-return profile. Achieving an expected return of 26.20% at a comparable risk level suggests room for improvement without significantly altering the portfolio's risk profile. A focus on diversifying highly correlated assets could be a key step in this optimization process.

Dividends Info

  • American Century ETF Trust 2.90%
  • Invesco NASDAQ 100 ETF 0.50%
  • Schwab U.S. Dividend Equity ETF 3.70%
  • Schwab U.S. Large-Cap Growth ETF 0.40%
  • Vanguard S&P 500 ETF 1.20%
  • Vanguard Total International Stock Index Fund ETF Shares 2.70%
  • Weighted yield (per year) 1.71%

The portfolio's dividend yield contributes to its total return, providing a steady income stream in addition to capital appreciation. The overall yield of 1.71% is a balanced contribution to the portfolio's performance, offering a mix of growth and income. Regularly reviewing dividend-yielding assets can ensure they continue to meet income and growth objectives.

Ongoing product costs Info

  • American Century ETF Trust 0.31%
  • SPDR® Gold Shares 0.40%
  • Invesco NASDAQ 100 ETF 0.15%
  • Schwab U.S. Dividend Equity ETF 0.06%
  • Schwab U.S. Large-Cap Growth ETF 0.04%
  • Vanguard S&P 500 ETF 0.03%
  • Vanguard Total International Stock Index Fund ETF Shares 0.05%
  • Weighted costs total (per year) 0.14%

With a Total Expense Ratio (TER) averaging 0.14%, the portfolio is cost-efficient, minimizing the drag on performance due to fees. Lower costs allow for a greater portion of investment returns to compound over time, enhancing long-term growth potential. Continual monitoring of fees is advised to maintain cost efficiency.

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