This portfolio has only about 4.8 years of historical data, based on the youngest asset in the portfolio. Some metrics, projections, and AI insights may be less reliable and should be interpreted with caution.

Moderately Diversified Growth Portfolio with Strong Tech and Financial Focus

Report created on Jul 25, 2024

Risk profile Info

5/7
Growth
Less risk More risk

Diversification profile Info

3/5
Moderately Diversified
Less diversification More diversification

Positions

The portfolio is composed of six ETFs, with a significant allocation to the Vanguard S&P 500 ETF at 50%. Other notable positions include Avantis U.S. Small Cap Value ETF, Fidelity MSCI Financials Index ETF, SPDR S&P MIDCAP 400 ETF Trust, Vanguard Information Technology Index Fund ETF, and Vanguard Total International Stock Index Fund ETF. This composition shows a strong preference for U.S. equities, with a moderate level of diversification across different market segments and sectors.

Growth Info

Historically, the portfolio has performed well, with a compound annual growth rate (CAGR) of 14.56%. However, it has experienced significant volatility, with a maximum drawdown of -36.64%. This means that while the portfolio has the potential for strong returns, it also comes with a considerable level of risk. The days that make up 90% of returns being only 13 indicates that the portfolio's performance is driven by a few key periods.

Projection Info

Using a Monte Carlo simulation with 1,000 runs, the portfolio's future performance was analyzed. This method uses random sampling to predict future outcomes based on historical data. The simulation shows a wide range of potential outcomes, with a 5th percentile end value of 33.92% and a 67th percentile end value of 885%. The median (50th percentile) outcome is 568.07%, with an overall annualized return of 17.42%. This suggests a high probability of positive returns but also highlights the inherent risk.

Asset classes Info

  • Stocks
    100%

The portfolio is heavily weighted towards stocks, with 99.57% in equities and minimal allocations to cash and other assets. This high concentration in equities is typical for a growth-focused portfolio but also increases exposure to market volatility. Diversifying into other asset classes, such as bonds, could help mitigate risk and provide more stability, especially during market downturns.

Sectors Info

  • Technology
    29%
  • Financials
    22%
  • Consumer Discretionary
    10%
  • Industrials
    10%
  • Health Care
    8%
  • Telecommunications
    5%
  • Energy
    5%
  • Consumer Staples
    4%
  • Basic Materials
    3%
  • Real Estate
    2%
  • Utilities
    2%

Sector allocation is skewed towards Technology (28.67%) and Financial Services (22.06%), with smaller allocations to Consumer Cyclicals, Industrials, and Healthcare. This concentration in tech and financial sectors can lead to higher returns during market upswings but also increases vulnerability to sector-specific downturns. A more balanced sector allocation could reduce risk and provide more consistent performance across different economic conditions.

Regions Info

  • North America
    90%
  • Europe Developed
    5%
  • Japan
    2%
  • Asia Emerging
    2%
  • Asia Developed
    1%
  • Australasia
    1%

Geographically, the portfolio is predominantly invested in North America (89.86%), with limited exposure to other regions like Europe Developed, Japan, and Emerging Asia. This heavy focus on the U.S. market can be beneficial when the U.S. economy is strong but may limit growth opportunities in other regions. Increasing international diversification could help capture global growth and reduce geographic risk.

Dividends Info

  • Avantis® U.S. Small Cap Value ETF 1.60%
  • Fidelity® MSCI Financials Index ETF 1.60%
  • SPDR® S&P MIDCAP 400 ETF Trust 1.20%
  • Vanguard Information Technology Index Fund ETF Shares 0.70%
  • Vanguard S&P 500 ETF 1.30%
  • Vanguard Total International Stock Index Fund ETF Shares 3.00%
  • Weighted yield (per year) 1.46%

Dividend yield data is not provided, but given the portfolio's focus on growth stocks, the yield is likely to be modest. Growth stocks typically reinvest earnings into the business rather than paying out high dividends. Investors seeking regular income might want to consider adding dividend-paying stocks or ETFs to balance growth with income.

Ongoing product costs Info

  • Avantis® U.S. Small Cap Value ETF 0.25%
  • Fidelity® MSCI Financials Index ETF 0.08%
  • SPDR® S&P MIDCAP 400 ETF Trust 0.24%
  • Vanguard Information Technology Index Fund ETF Shares 0.10%
  • Vanguard S&P 500 ETF 0.03%
  • Vanguard Total International Stock Index Fund ETF Shares 0.08%
  • Weighted costs total (per year) 0.09%

The portfolio's total expense ratio (TER) is 0.09%, which is relatively low and beneficial for long-term returns. Lower costs mean more of the portfolio's returns are retained by the investor. This low-cost structure is a positive aspect of the portfolio, making it more efficient and cost-effective over time.

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.

Instrument logos provided by Elbstream.

Help us improve Insightfolio

Your feedback makes a difference! Share your thoughts in our quick survey. Take the survey