A diversified low cost stock portfolio tilted to US dividends and large cap growth leaders
Report created on Mar 17, 2026Risk profile
4/7
Diversification profile
3/5
Positions
-
SC Schwab U.S. Broad Market ETF
SCHB - US8085241029 72.14% -
SC Schwab U.S. Dividend Equity ETF
SCHD - US8085247976 16.68% -
SC Schwab International Equity ETF
SCHF - US8085248057 5.59% -
SC Schwab U.S. Large-Cap Growth ETF
SCHG - US8085243009 5.59%
The structure is simple and clear: roughly three quarters in a broad US stock fund, a meaningful slice in dividend stocks, plus smaller allocations to international and US growth. Compared with a typical balanced benchmark, this is far more equity-heavy and has no bonds or cash. That’s why the profile still lands as “balanced” but on the growthier side. This clarity is good: you know what drives returns. If the all‑stock stance fits your time horizon and comfort with big swings, staying the course can work well; if not, gradually layering in defensive assets could smooth the ride.
Growth
A historical Compound Annual Growth Rate (CAGR) of 14.5% is very strong; CAGR is like your average yearly “speed” over the full trip, smoothing out bumps. A maximum drawdown of about –35% shows how deep the worst drop was from a prior peak, which is normal for an equity‑heavy mix during major selloffs. Beating or matching common stock benchmarks over time would indicate the structure is doing its job. Still, past performance does not guarantee future results; markets change. Using this history mainly as a reality check on volatility tolerance, not as a promise, is the healthiest mindset.
Projection
The Monte Carlo analysis, which uses many simulated paths based on historical patterns, shows a wide range of possible outcomes. Monte Carlo is like running 1,000 alternate market histories to see how often things turn out well or poorly. A median outcome of about 5x growth is attractive, but the 5th percentile still shows a loss, meaning bad decades do happen. Simulated annualized returns around 15% may be optimistic because they rely on past conditions. Treat these numbers as a rough map, not a GPS: they’re helpful for setting expectations, but it’s wise to plan for lower returns and higher bumps than the median suggests.
Asset classes
- Stocks 100%
All assets sit in stocks, with 0% in bonds, cash, or alternatives. That makes this a pure equity portfolio rather than a traditional balanced mix. A 100% stock position maximizes long‑term growth potential but also maximizes exposure to market downturns. This is why the risk score sits in the middle‑high range. For someone with decades to invest and strong stomach for volatility, this setup can be appropriate. For anyone who worries about sharp drawdowns or nearer‑term spending needs, gradually adding stabilizers like high‑quality bonds or a small cash buffer can reduce stress without completely sacrificing growth.
Sectors
- Technology 28%
- Financials 12%
- Health Care 11%
- Industrials 10%
- Consumer Discretionary 10%
- Telecommunications 9%
- Consumer Staples 7%
- Energy 7%
- Basic Materials 2%
- Utilities 2%
- Real Estate 2%
Sector exposure is well spread across technology, financials, healthcare, industrials, consumer areas, and smaller slices in energy, materials, utilities, and real estate. Tech at 28% is high but broadly in line with major US benchmarks today, which is common given how large that sector has become. This composition is reasonably diversified and matches benchmark data, a strong indicator that sector risk isn’t wildly out of line. Still, tech and communication names can be more sensitive to interest rates and growth expectations. Periodically checking that no single theme (like AI or online platforms) dominates your main funds helps keep sector risk intentional rather than accidental.
Regions
- North America 94%
- Europe Developed 3%
- Japan 1%
- Asia Developed 1%
Geographically, the portfolio is overwhelmingly tilted to North America at 94%, with only a small slice in developed markets overseas and almost nothing in emerging economies. This US focus has been a tailwind over the last decade, since US stocks beat most other regions by a wide margin. However, it does mean results are tightly linked to the health of the US economy, policy, and currency. Many global benchmarks have more international exposure. If global diversification is a goal, nudging the non‑US slice higher over time could reduce home‑country risk and help if leadership rotates toward other regions in the future.
Market capitalization
- Mega-cap 37%
- Large-cap 35%
- Mid-cap 21%
- Small-cap 5%
- Micro-cap 2%
Market capitalization exposure is dominated by mega and big companies, together over 70%, with modest mid‑cap and very small slices in small and micro caps. This large‑company tilt echoes common index benchmarks and contributes to stability and liquidity, since these firms are usually more established and widely followed. On the flip side, it limits the “small‑cap premium” that sometimes appears when smaller companies outperform. This allocation is well‑balanced and aligns closely with global standards, which is reassuring. If a bit more return potential and diversification are desired—and higher volatility is acceptable—gradually increasing mid and small‑cap exposure could add another growth lever.
True holdings
-
NV NVIDIA Corporation 5.57%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
AA Apple Inc 4.70%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
MS Microsoft Corporation 3.74%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
AM Amazon.com Inc 2.57%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
GO Alphabet Inc Class A 2.23%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
AV Broadcom Inc 1.95%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
GO Alphabet Inc Class C 1.78%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
ME Meta Platforms Inc. 1.76%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
TS Tesla Inc 1.47%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Schwab U.S. Large-Cap Growth ETF
-
BR Berkshire Hathaway Inc 1.01%
Part of fund(s):- Schwab U.S. Broad Market ETF
- Top 10 total 26.80%
Looking through to the top underlying positions, there is a clear tilt toward mega‑cap US names like Nvidia, Apple, Microsoft, Amazon, Alphabet, Meta, and Tesla. These are powerful growth engines and have driven a big share of recent market gains. Because only the top‑10 ETF holdings are used, real overlap across funds is likely higher than reported. That means the portfolio is more concentrated in these giants than the surface weights suggest. If that’s intentional, it can boost growth. If not, reducing redundant exposures or balancing with other styles and regions could make the overall mix more resilient to a tech‑led downturn.
Factors
Factor exposure shows strong tilts to yield, value, and momentum, with moderate size and low‑volatility signals. Factors are like underlying “traits” of stocks—such as cheapness (value) or recent winners (momentum)—that research has linked to long‑term returns. The high yield and value tilts come largely from the dividend fund, while momentum and growth leadership come from the broad and growth funds. This mix can behave well across different market environments: income support during flat periods and growth participation in rallies. Signal coverage is incomplete for some factors, so the picture isn’t perfect. Keeping this blend intentional—rather than accidentally overloading any single trait—helps manage style whiplash when markets rotate.
Risk contribution
-
Schwab U.S. Broad Market ETF
Weight: 72.14% 74.6% -
Schwab U.S. Dividend Equity ETF
Weight: 16.68% 14.3% -
Schwab U.S. Large-Cap Growth ETF
Weight: 5.59% 6.4% -
Schwab International Equity ETF
Weight: 5.59% 4.7%
Risk contribution shows how much each position drives the portfolio’s ups and downs, which can differ from simple weights. Here, the broad US fund provides about three quarters of the total risk, close to its allocation, and the growth ETF punches slightly above its weight. The dividend and international funds contribute a bit less risk than their sizes, which indicates a mild stabilizing effect. Overall, the top three holdings account for over 95% of risk, meaning changes in those funds dominate outcomes. If that concentration feels too high, adjusting position sizes or adding truly different assets can spread risk more evenly while preserving the core structure.
Redundant positions
-
High correlationSchwab U.S. Broad Market ETFSchwab U.S. Large-Cap Growth ETF
Correlation measures how assets move together; highly correlated holdings tend to rise and fall at the same time, reducing diversification benefits during market stress. The broad US fund and the US large‑cap growth fund are very closely linked, which isn’t surprising since both are centered on major US companies and share many top holdings. This overlap means the growth ETF adds more of the same kind of risk rather than something different. Before making big changes, it helps to decide whether that extra growth tilt is intentional. If not, shifting some of that allocation into less‑correlated exposures could improve the overall risk spread.
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.
From an Efficient Frontier perspective—where “efficient” means getting the best possible trade‑off between risk and return using your existing building blocks—this mix sits on the higher‑risk, higher‑return side. The Efficient Frontier doesn’t judge diversification goals or income needs; it simply asks, “Given these funds, is there a different combination that offers similar return with less volatility, or more return for the same volatility?” Because two US funds are highly correlated, trimming overlap and re‑weighting toward the more diversifying positions could push the portfolio closer to that efficient line, improving the risk‑return ratio without changing the core growth orientation.
Dividends
- Schwab U.S. Broad Market ETF 1.10%
- Schwab U.S. Dividend Equity ETF 3.40%
- Schwab International Equity ETF 3.30%
- Schwab U.S. Large-Cap Growth ETF 0.40%
- Weighted yield (per year) 1.57%
The overall yield of about 1.6% is modest but decent for a growth‑oriented equity mix, boosted by the dividend and international funds. Dividend yield is the annual cash payment as a percentage of price, like rent on a property. The dividend ETF’s higher yield provides a steadier income stream, which can be helpful for reinvesting during downturns or funding small withdrawals without selling as many shares. However, chasing yield alone can lead to concentration in slower‑growing areas. This blend seems sensible: a solid income anchor alongside broad and growth exposures. Keeping distributions automatically reinvested can meaningfully increase long‑term compounding.
Ongoing product costs
- Schwab U.S. Broad Market ETF 0.03%
- Schwab U.S. Dividend Equity ETF 0.06%
- Schwab International Equity ETF 0.06%
- Schwab U.S. Large-Cap Growth ETF 0.04%
- Weighted costs total (per year) 0.04%
Total ongoing costs around 0.04% are impressively low and a major strength. The Total Expense Ratio (TER) is like a small yearly “membership fee” charged by the funds. Every bit saved here compounds over time, just like returns do. Compared with many actively managed options that charge 0.5–1% or more, this structure keeps more money working for you. Low costs are one of the few things investors can reliably control, and this setup is already close to best‑in‑class. The main focus going forward can stay on allocation, risk, and discipline, rather than hunting for cheaper products.
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