Roast mode 🔥

A tech-heavy portfolio that thinks diversification is just a fancy word for tech ETFs

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 the thrill-seeker who views investing as a high-stakes game of poker rather than a strategic chess match. It's for someone with a strong stomach for volatility and a deep belief in the tech sector's continued dominance. This investor likely has a short-to-medium term outlook, hoping to capitalize on rapid growth without much concern for the potential downturns or the value of diversification for risk management. Their risk tolerance is high, but whether it's matched with a high level of market understanding is another question.

Positions

  • Vanguard Total Stock Market Index Fund ETF Shares
    VTI - US9229087690
    40.00%
  • Vanguard Total International Stock Index Fund ETF Shares
    VXUS - US9219097683
    20.00%
  • Schwab U.S. Large-Cap Growth ETF
    SCHG - US8085243009
    15.00%
  • Invesco S&P 500® Momentum ETF
    SPMO - US46138E3392
    15.00%
  • NVIDIA Corporation
    NVDA - US67066G1040
    10.00%

Diving into this portfolio is like walking into a tech enthusiast's dream convention, except it's supposed to be an investment strategy. With 40% in a total stock market ETF that's already tech-heavy by nature, and another 15% in a tech-dominated large-cap growth ETF, it's clear this portfolio subscribes to the "all-in on tech" mantra. The attempt at international diversification feels more like a nod to a globe-trotting fantasy than a balanced strategy, given the overwhelming domestic tech tilt.

Growth Info

Historically, this portfolio has ridden the tech wave with a CAGR that would make Silicon Valley blush, but that max drawdown number? It's like watching half of your investment evaporate in a sauna. Sure, the good days are great, but it's those 52 days accounting for 90% of returns that highlight the volatility. It's the financial equivalent of betting it all on black because it worked once.

Projection Info

Monte Carlo simulations predict this portfolio might turn into a rocket or a spectacular firework display—exciting until it's not. While the high percentile outcomes look like the investor's wildest dreams, it's essential to remember these simulations assume the future is just a remix of the past. Banking on a repeat performance is like expecting lightning to strike the same place repeatedly—possible, but would you bet your house on it?

Asset classes Info

  • Stocks
    99%
  • Cash
    1%
  • Other
    0%
  • No data
    0%

Stocks, stocks, and more stocks, with a side of... well, stocks. With 99% in equities, this portfolio's asset class diversity is as rich as a diet consisting solely of potatoes. Sure, you can survive on it, but it's not exactly a blueprint for long-term health. The 1% in cash is like keeping a spare tire in the trunk but forgetting the jack—it's not much help when things go south.

Sectors Info

  • Technology
    36%
  • Financials
    14%
  • Consumer Discretionary
    10%
  • Telecommunications
    9%
  • Industrials
    9%
  • Health Care
    7%
  • Consumer Staples
    5%
  • Energy
    3%
  • Basic Materials
    2%
  • Utilities
    2%
  • Real Estate
    2%

This portfolio loves technology more than a teenager loves their smartphone. With 36% in tech, it's less diversified and more a fan club. The smattering across other sectors feels like an afterthought, like remembering to eat a vegetable after a week of fast food. The heavy tech tilt is a double-edged sword—exciting in a bull market but a front-row seat on the rollercoaster when tech stocks plummet.

Regions Info

  • North America
    81%
  • Europe Developed
    8%
  • Asia Emerging
    3%
  • Japan
    3%
  • Asia Developed
    2%
  • Australasia
    1%
  • Africa/Middle East
    1%
  • Latin America
    0%
  • Europe Emerging
    0%

With 81% in North America, this portfolio's idea of global diversification is like calling a pizza a vegetable because it has tomato sauce. The small allocations to Europe, Asia, and the token percentages in emerging markets are like seasoning—nice to have but not changing the overall flavor. This geographic spread leaves the portfolio exposed to the ups and downs of the U.S. market, with little cushion from global diversification.

Market capitalization Info

  • Mega-cap
    53%
  • Large-cap
    27%
  • Mid-cap
    15%
  • Small-cap
    3%
  • Micro-cap
    1%

This portfolio's love affair with mega and big caps is like only watching blockbuster movies and ignoring indie films. Sure, the big names can offer some spectacular performances, but the neglect of smaller companies limits exposure to potentially higher growth opportunities. It's a conservative move in an otherwise daring portfolio, akin to wearing a helmet while riding a rocket.

Redundant positions Info

  • Schwab U.S. Large-Cap Growth ETF
    Vanguard Total Stock Market Index Fund ETF Shares
    High correlation

The correlation between the large-cap growth and total stock market ETFs is like buying two different brands of plain vanilla ice cream and expecting a flavor explosion. This redundancy doesn't add value but rather inflates the portfolio's risk without the benefit of diversification. It's like doubling down on your bets in a game where you're already winning—unnecessary and risky.

Dividends Info

  • Schwab U.S. Large-Cap Growth ETF 0.40%
  • Invesco S&P 500® Momentum ETF 0.60%
  • Vanguard Total Stock Market Index Fund ETF Shares 1.20%
  • Vanguard Total International Stock Index Fund ETF Shares 2.80%
  • Weighted yield (per year) 1.19%

The dividend yields in this portfolio are like finding loose change under the couch cushions—nice to have but not life-changing. While the focus on growth is clear, a little more attention to income, especially from more diversified sources, could provide a smoother ride during the tech sector's inevitable ups and downs. As it stands, the portfolio's income strategy is more of an afterthought than a feature.

Ongoing product costs Info

  • Schwab U.S. Large-Cap Growth ETF 0.04%
  • Invesco S&P 500® Momentum ETF 0.13%
  • Vanguard Total Stock Market Index Fund ETF Shares 0.03%
  • Vanguard Total International Stock Index Fund ETF Shares 0.05%
  • Weighted costs total (per year) 0.05%

On the bright side, the portfolio's overall cost is lower than a bargain bin at a discount store, which is genuinely commendable. Keeping expenses low is like packing a light suitcase; it makes the journey easier. However, when the journey's path is as narrow as this one's, maybe a bit more weight in the right places wouldn't hurt.

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.

Talking about efficiency in this portfolio is like discussing water conservation while leaving the tap running. The fixation on tech and large caps at the expense of true diversification makes this a high-risk, high-reward gamble, not an optimized strategy. Before dreaming of efficiency, there's a need to revisit the basics of diversification—spreading risks, not just multiplying them in different shades of the same color.

What next?

Ready to invest in this portfolio?

Select a broker that fits your needs and watch for low fees to maximize your returns.

Select broker

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.