Extremely concentrated high growth crypto led portfolio with equity diversification playing a minor supporting role
Report created on Jun 6, 2024Risk profile
7/7
Diversification profile
3/5
Positions
-
GB Grayscale Bitcoin Trust (BTC)
GBTC - US3896371099 90.00% -
VO Vanguard S&P 500 ETF
VOO - US9229083632 10.00%
The portfolio is overwhelmingly concentrated in a single crypto trust at 90%, with the remaining 10% in a broad US equity ETF. That creates a very binary structure: one highly volatile driver plus a relatively stable but small ballast. This matters because portfolio behavior will largely follow the path of the crypto position, not the stock market. A setup like this can deliver huge upside but also extreme swings in value. From a structural point of view, the mix fits a speculative profile, but anyone using a design like this would usually want to keep it as a satellite holding rather than a core wealth-building base.
Growth
Historically, the portfolio has delivered eye-watering results: a $1,000 stake grew to about $87,500, with a huge 56.56% CAGR (compound annual growth rate, or average yearly growth). That massively beat both the US and global markets, which grew around 11–14% per year. The price for that upside was brutal drawdowns: at one point the portfolio fell almost 90% from a peak, far worse than traditional stock benchmarks. This shows how past returns came with gut-testing volatility. It’s important to remember that such exceptional historical gains do not guarantee similar future outcomes, especially for a single, speculative asset.
Asset classes
- Crypto 90%
- Stocks 10%
Asset allocation is extremely tilted: 90% crypto and 10% stocks. That’s the reverse of a typical diversified long-term portfolio, where traditional assets usually dominate and high-risk assets are smaller satellites. This setup offers minimal cushioning from stock exposure when the crypto asset swings, so portfolio value can spike or crash with little moderation. For someone seeking more stability, a higher percentage in broad equities or even other asset classes would usually help. That said, for an investor intentionally targeting high-octane growth with a strong belief in crypto, this kind of structure reflects a clear, albeit aggressive, conviction bet.
Sectors
- Technology 3%
- Financials 1%
- Telecommunications 1%
- Consumer Discretionary 1%
- Health Care 1%
- Industrials 1%
- Consumer Staples 1%
This breakdown covers the equity portion of your portfolio only.
Sector exposure from the equity slice appears reasonably balanced across technology, financials, consumer areas, health care, and industrials, each only a small fraction of the overall portfolio. Compared to broad stock benchmarks, the sector mix of the 10% equity portion looks healthy and aligned with common indices, which is a strong indicator of diversification within that slice. The key nuance is that sector discussion applies only to the stock component; sector diversification cannot offset movements in the large crypto position. So while the equity part is well-constructed, sector balance has limited influence on total portfolio behavior.
Regions
- North America 10%
This breakdown covers the equity portion of your portfolio only.
Geographically, the equity allocation is entirely in North America, as expected from a US large‑cap index ETF. This aligns well with common US‑centric benchmarks and comfortably reflects the home market for many investors, which can make the portfolio feel easier to understand and follow. That said, geographic diversification benefits are limited, since there is no dedicated exposure to other regions within the stock allocation. On top of that, crypto is a global asset class but behaves more like a single risk factor than a geographically diversified basket. As a result, geographic spread plays only a minor role in overall risk reduction here.
Market capitalization
- Mega-cap 5%
- Large-cap 3%
- Mid-cap 2%
This breakdown covers the equity portion of your portfolio only.
The equity component leans toward large and mega-cap companies, with some mid-cap exposure, mirroring mainstream index construction. That means the stock slice is anchored in mature, established firms that typically have deeper liquidity and greater resilience than smaller companies. This is a solid positive: the equity part of the portfolio is broadly aligned with how many global benchmarks weight companies by size. However, because that stock exposure is just 10% of the total, the stabilizing effect of large caps is limited. Market-cap diversification is well-executed inside the ETF but overshadowed by the size of the crypto position.
True holdings
-
BT Grayscale Bitcoin Mini Trust (BTC) 11.29%
Part of fund(s):- Grayscale Bitcoin Trust (BTC)
-
NV NVIDIA Corporation 0.73%
Part of fund(s):- Vanguard S&P 500 ETF
-
AA Apple Inc 0.66%
Part of fund(s):- Vanguard S&P 500 ETF
-
MS Microsoft Corporation 0.50%
Part of fund(s):- Vanguard S&P 500 ETF
-
AM Amazon.com Inc 0.35%
Part of fund(s):- Vanguard S&P 500 ETF
-
GO Alphabet Inc Class A 0.31%
Part of fund(s):- Vanguard S&P 500 ETF
-
AV Broadcom Inc 0.26%
Part of fund(s):- Vanguard S&P 500 ETF
-
GO Alphabet Inc Class C 0.25%
Part of fund(s):- Vanguard S&P 500 ETF
-
ME Meta Platforms Inc. 0.24%
Part of fund(s):- Vanguard S&P 500 ETF
-
TS Tesla Inc 0.19%
Part of fund(s):- LS 1x Tesla Tracker ETP Securities GBP
- Vanguard S&P 500 ETF
- Top 10 total 14.77%
This breakdown covers the equity portion of your portfolio only.
Looking through the ETF, the largest underlying exposures are familiar mega-cap US names like NVIDIA, Apple, Microsoft, Amazon, and Alphabet, but each is tiny in the overall picture. No single stock, aside from the crypto trust, stands out as a major driver. Hidden concentration risk here is minimal in equities, because only 10% of the portfolio is in the index ETF and those top stocks are small fractions of that. The real overlap story is simply that nearly all risk and return are coming from one crypto vehicle, not from duplicated holdings within the ETF layer.
Factors
Factor exposure shows a very high tilt to Size, meaning a preference for smaller or more volatile risk segments relative to a neutral market mix. That is consistent with the dominant crypto holding, which behaves more like an ultra-high-risk “small” asset than a stable blue chip. Quality exposure is very low, indicating less emphasis on historically stable, profitable, lower-risk businesses. Yield is also very low, so income generation is clearly not a priority here. Together, these tilts imply behavior that can shine during speculative bull markets but may suffer deeply in risk-off environments where investors flock to high-quality, income-producing assets.
Risk contribution
-
Grayscale Bitcoin Trust (BTC)
Weight: 90.00% 99.3% -
Vanguard S&P 500 ETF
Weight: 10.00% 0.7%
Risk contribution, which measures how much each holding adds to total ups and downs, is almost entirely driven by the crypto trust: it’s 90% of the weight but over 99% of portfolio risk. The broad equity ETF, despite being 10% of assets, contributes less than 1% of total volatility. That tells you this holding structure is effectively “all‑in” on one risk factor. A general approach to align risk with intentions would be to scale the high-volatility asset down if smoother performance is desired, or to maintain the sizing if extreme swings are acceptable and viewed as part of a deliberate high-risk strategy.
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.
On the risk–return chart, the current allocation sits on or very near the efficient frontier, which shows the best possible return for each risk level using only the existing holdings. The Sharpe ratio of 0.95 is solid and not far from the optimal mix’s 1.09, indicating the portfolio uses its two holdings efficiently for its chosen risk. The main distinction: the current setup chooses much higher volatility and higher expected returns than the maximum‑Sharpe mix. That means the structure is efficient for a very aggressive risk level, but the same ingredients could be blended more conservatively to smooth the ride if desired.
Dividends
- Vanguard S&P 500 ETF 1.20%
- Weighted yield (per year) 0.12%
Dividend yield from the whole portfolio is very low at around 0.12%, even though the S&P 500 ETF itself has a reasonable yield near 1.2%. Because the equity slice is such a small part of the mix, its income stream gets heavily diluted. This setup clearly prioritizes capital appreciation and speculative upside over steady cash flow. That can fit growth-focused, long‑horizon investors who don’t rely on their portfolio for regular spending. Anyone aiming for income stability, though, would usually look for a higher overall yield, likely by increasing traditional equity or income-focused asset exposure relative to non-yielding crypto.
Ongoing product costs
- Grayscale Bitcoin Trust (BTC) 1.50%
- Vanguard S&P 500 ETF 0.03%
- Weighted costs total (per year) 1.35%
Total ongoing costs (TER, or total expense ratio) are about 1.35% per year, driven mainly by the 1.50% fee on the crypto trust. The S&P 500 ETF is impressively cheap at 0.03%, matching best‑in‑class index pricing and supporting long‑term performance. High costs compound against you over time, so even a 1% difference can meaningfully reduce wealth over decades. Here, the cost drag is concentrated in the speculative asset, a trade-off for gaining that specific exposure in fund form. If similar exposure could be held more efficiently, long-run net returns could improve without changing the overall risk profile.
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