This portfolio has only about 6.1 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.

Balanced and Broadly Diversified Portfolio with Strong ESG Focus and Moderate Costs

Report created on Jul 24, 2024

Risk profile Info

4/7
Balanced
Less risk More risk

Diversification profile Info

4/5
Broadly Diversified
Less diversification More diversification

Positions

The portfolio is composed of three main ETFs: Xtrackers MSCI World ESG UCITS ETF 1C (70%), Xtrackers MSCI Emerging Markets UCITS ETF 1C (20%), and Amundi Index Solutions - Amundi MSCI Europe ESG Broad CTB UCITS ETF DR EUR C (10%). This mix provides a broad global exposure with a significant emphasis on developed markets, emerging markets, and ESG criteria. The portfolio is well-diversified across different regions and sectors, which can help mitigate risks associated with market volatility. However, the high concentration in ETFs means the portfolio's performance is heavily tied to these funds' strategies and management.

Growth Info

Historically, the portfolio has shown a solid performance with a CAGR of 11.47%. This indicates that a hypothetical initial investment would have grown significantly over time. However, the maximum drawdown of -33.04% suggests that the portfolio has experienced substantial declines in value during market downturns. The fact that 90% of returns are made up of just 22 days highlights the importance of staying invested to capture these critical gains. This performance underscores the portfolio's potential for growth, albeit with some volatility.

Projection Info

Using a Monte-Carlo simulation with 1,000 iterations, the portfolio's future performance shows a wide range of potential outcomes. The 5th percentile suggests a potential loss of -6.7%, while the median (50th percentile) projects a 201.04% return, and the 67th percentile projects a 318.23% return. The annualized return across all simulations is 9.74%. This simulation provides a probabilistic view of future returns, helping to set realistic expectations. It emphasizes the importance of a long-term investment horizon to navigate the variability in returns.

Asset classes Info

  • Stocks
    80%
  • No data
    20%

The portfolio is primarily invested in stocks, making up approximately 79.78% of the total allocation. The remaining allocation includes a significant portion categorized as "Unknown" (20%), which could represent a mix of different asset classes or unclassified investments. The small percentages in cash and other categories indicate minimal allocation to these asset classes. The heavy stock allocation aligns with a balanced risk profile, offering growth potential while still exposing the portfolio to market risks.

Sectors Info

  • Technology
    23%
  • No data
    20%
  • Financials
    13%
  • Health Care
    11%
  • Industrials
    8%
  • Consumer Discretionary
    8%
  • Telecommunications
    7%
  • Consumer Staples
    3%
  • Basic Materials
    3%
  • Real Estate
    2%
  • Utilities
    1%

Sector allocation is diverse, with significant investments in Technology (23.45%), Financial Services (13.02%), and Healthcare (11.47%). Other notable sectors include Industrials, Consumer Cyclicals, and Communication Services. This sector diversification helps spread risk across different parts of the economy, reducing the impact of sector-specific downturns. However, the high allocation to Technology may increase volatility, given the sector's historically higher risk and return profile. Balancing sector weights could further stabilize returns.

Regions Info

  • North America
    53%
  • Europe Developed
    21%
  • No data
    20%
  • Japan
    4%
  • Australasia
    1%
  • Asia Developed
    1%

Geographically, the portfolio is heavily weighted towards North America (52.53%) and Europe Developed (21.10%). There is also a notable allocation to Japan and a small presence in other regions like Australasia and Latin America. The "Unknown" category (20%) suggests some geographical exposure is not clearly defined. This geographic diversification provides exposure to different economic environments and growth opportunities, though the heavy North American focus could lead to regional risk if that market underperforms.

Ongoing product costs Info

  • Amundi Index Solutions - Amundi MSCI Europe ESG Broad CTB UCITS ETF DR EUR C 0.12%
  • Xtrackers MSCI World ESG UCITS ETF 1C 0.25%
  • Weighted costs total (per year) 0.19%

The portfolio has a total expense ratio (TER) of 0.19%, which is relatively low and helps to maximize net returns. The individual TERs of the ETFs are also modest, with the highest being 0.25%. Keeping investment costs low is crucial for long-term growth, as high fees can significantly erode returns over time. Regularly reviewing and comparing the expense ratios of the ETFs can ensure that the portfolio remains cost-efficient.

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