A growth junkie portfolio hiding behind dividend makeup and pretending to be balanced
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
Balanced Investors
This setup fits someone who says “balanced” but secretly loves watching the market roller coaster. It suggests moderate-to-high risk tolerance wrapped in a story about dividends to feel responsible. The personality here likely values growth first, with income and stability as nice-to-have decorations. Time horizon probably leans long-term, because enduring 30% drawdowns without panic selling requires both patience and a slightly stubborn streak. This design suits a person who believes in U.S. large companies, is comfortable ignoring most of the globe, and is okay with some portfolio drama as long as the long-run chart points up and to the right.
Positions
-
Schwab U.S. Dividend Equity ETF
SCHD - US8085247976 50.00% -
Schwab U.S. Large-Cap Growth ETF
SCHG - US8085243009 50.00%
This “balanced” portfolio is about as balanced as a barstool with two legs. Half is in a U.S. dividend ETF and half in a U.S. large-cap growth ETF, so it’s basically one big bet on U.S. large stocks wearing two different outfits. Compared with typical balanced setups that mix stocks and bonds, this is more like an all-equity roller coaster with a slightly cushioned seat. The mix does at least blend growth and dividends, but the lack of other asset types is loud. If actual balance is the goal, folding in something steadier than pure stocks wouldn’t hurt.
Growth
Historically, a 16.95% CAGR is spicy. If someone dropped $10,000 in at the start, they’d be sitting on roughly $47,000 after 10 years, assuming that rate held. CAGR (Compound Annual Growth Rate) is just the “average speed” of growth over time, smoothing out the chaos. Problem: that chaos still exists. A max drawdown of -32.57% means a one-third haircut at some point, which is not exactly “sleep like a baby” territory. Also, past data is like yesterday’s weather: useful, but it doesn’t sign a contract for tomorrow.
Projection
The Monte Carlo results here look like they were generated by a very optimistic fortune cookie. Monte Carlo simulation basically runs thousands of “what if” futures based on past patterns and volatility. Median outcome of +775% and average annualized return near 18.5%? Nice fantasy, but remember: simulations recycle historical behavior, not future surprises. The 5th percentile still showing +175% sounds comforting, but that’s under model assumptions that markets behave “normally.” They don’t. Treat these outputs like a hype trailer, not the actual movie. Using them as a reality check is smart; treating them as a promise is how people get humbled.
Asset classes
- Stocks 100%
- Cash 0%
Asset classes here: 100% stocks, 0% cash, 0% bonds, 0% anything else. This is not “balanced,” it’s “stocks with commitment issues.” Asset classes are just different buckets like stocks, bonds, real estate, etc., that react differently to market drama. When everything is stocks, a bad equity market means the whole ship leans at once. Great when markets are climbing, less great when they faceplant. If the goal is smoother rides, adding something less correlated than “more stocks” could turn this from thrill ride to grown-up portfolio. If the goal is full-send growth, at least acknowledge the risk is turned up.
Sectors
- Technology 27%
- Health Care 12%
- Consumer Discretionary 12%
- Energy 11%
- Consumer Staples 10%
- Telecommunications 10%
- Financials 8%
- Industrials 8%
- Basic Materials 1%
- Utilities 0%
- Real Estate 0%
Sector-wise, this thing is wearing a tech-first, growthy costume while claiming dividend sensibility. Technology at 27% plus consumer cyclicals, communication services, and energy packed in double digits means it tilts heavily toward economically sensitive areas. Sectors are just slices of the economy, and loading up on a few hot ones makes results depend heavily on those stories not breaking. Financials and industrials are present but not dominating; defensives like utilities and real estate are basically ghosted. For a portfolio labeled “balanced,” it’s more “hope the economy keeps humming” than “prepared for all seasons.” Toning down dependence on a few big sectors would calm the drama.
Regions
- North America 99%
- Europe Developed 0%
- Asia Emerging 0%
- Asia Developed 0%
- Latin America 0%
Geographically, this is “America or bust” with 99% in North America. There’s home bias, and then there’s straight-up ignoring the rest of the planet. Global markets don’t move in perfect sync; other regions can zig when the U.S. zags, which is the entire point of diversification. This setup basically says, “If the U.S. sneezes, I want my net worth to catch pneumonia.” It’s simple, sure, and U.S. dominance has worked recently, but that’s backward-looking comfort. Folding in some non-U.S. exposure could turn this from a nationalistic chest-thumper into something that relies less on one economy and one currency.
Market capitalization
- Large-cap 42%
- Mega-cap 31%
- Mid-cap 22%
- Small-cap 4%
- Micro-cap 1%
Market cap mix is heavily tilted to the big kids: 42% big, 31% mega, 22% mid, and small/micro are token gestures at 4% and 1%. So it’s basically a popularity contest winner’s circle with a few scrappy underdogs thrown in for optics. Large and mega caps can offer stability and scale, but they also mean you’re riding the same names that dominate every index and headline. When those giants wobble, the whole thing shakes. If the goal is growth plus resilience, a more deliberate use of mid and small caps could add some diversification spice instead of just worshipping at the altar of mega-corps.
Dividends
- Schwab U.S. Dividend Equity ETF 3.40%
- Schwab U.S. Large-Cap Growth ETF 0.40%
- Weighted yield (per year) 1.90%
The overall yield of 1.9% is like a “diet income” portfolio: trying, but not really doing the job. The dividend ETF pulls a respectable 3.4%, but the growth side drags the total down with its 0.4% token payout. Dividends are just cash companies toss to shareholders, nice for stability and psychological comfort, but they’re not magic shields when markets tank. Relying on this setup for serious income would be… optimistic. It’s more growth-driven with a dividend accent than a true income engine. If steady cash flow is a real objective, the blend needs tuning toward more consistent payers or complementary income sources.
Ongoing product costs
- Schwab U.S. Dividend Equity ETF 0.06%
- Schwab U.S. Large-Cap Growth ETF 0.04%
- Weighted costs total (per year) 0.05%
Costs are the one area where this portfolio doesn’t need a lecture. A total expense ratio of 0.05% is basically couch-cushion money in the ETF world. TER (Total Expense Ratio) is what you pay each year to hold the funds, and here it’s pleasantly boring. “You must have clicked the right ETFs by accident” levels of reasonable. Low costs don’t fix concentration, sector risk, or lack of true diversification, but at least the drag isn’t coming from fees. The main task now isn’t cutting costs; it’s making sure the cheap ride is actually going to the right destination.
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.
From a risk–return perspective, this is not exactly living on the Efficient Frontier. The Efficient Frontier is just the nerdy way of saying “best possible trade-off between risk and reward for a given mix.” Here, you’re running high equity risk with no real help from stabilizing assets, so you’re paying with volatility but not getting the full benefit of diversification. You’ve got strong returns historically, yes, but you’re taking the long way around: all-equity swings, U.S.-only bias, overlapping holdings. A more efficient setup would keep the growth punch while smoothing the ride and reducing reliance on a handful of themes and regions.
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