A growth-oriented portfolio with a strong focus on US equities and technology

Report created on Sep 9, 2025

Risk profile Info

5/7
Growth
Less risk More risk

Diversification profile Info

2/5
Low Diversity
Less diversification More diversification

Positions

This portfolio is highly concentrated in the US equity market, with significant allocations to the Vanguard S&P 500 ETF, Invesco NASDAQ 100 ETF, and Invesco S&P 500® Momentum ETF. Each holding represents a third of the portfolio, focusing on large-cap and technology stocks. This structure offers a clear growth orientation but comes with low diversification across asset classes and geographic regions. The portfolio's alignment with growth profiles is evident, yet it lacks exposure to international markets and other asset classes that could mitigate risk.

Growth Info

Historically, the portfolio has demonstrated a robust Compound Annual Growth Rate (CAGR) of 17.41%, with a maximum drawdown of -26.53%. These figures reflect a high growth potential but also a considerable risk, as indicated by the portfolio's risk score of 5 out of 7. The days contributing to 90% of the returns being concentrated in just 23.0 days suggest a volatility that investors should be prepared for, emphasizing the importance of a long-term perspective to ride out short-term market fluctuations.

Projection Info

Monte Carlo simulations, which use historical data to project future outcomes, suggest a wide range of potential portfolio values, from a 5th percentile at 166.8% to a 67th percentile at 1,309.4%. While these projections offer optimism for growth, it's crucial to understand the inherent limitations and uncertainties of relying solely on past performance to forecast future returns. The high percentile of simulations with positive returns (998 out of 1,000) underscores the portfolio's growth potential, yet the risk of significant drawdowns cannot be ignored.

Asset classes Info

  • Stocks
    100%

The portfolio's asset allocation is entirely in stocks, with no diversification into other asset classes like bonds or real estate. This allocation aligns with a growth-focused strategy but increases volatility and risk, particularly in market downturns. Diversifying across multiple asset classes can help smooth out returns over time and reduce portfolio volatility, potentially leading to a more stable growth trajectory.

Sectors Info

  • Technology
    37%
  • Telecommunications
    13%
  • Consumer Discretionary
    13%
  • Financials
    11%
  • Industrials
    7%
  • Consumer Staples
    6%
  • Health Care
    5%
  • Utilities
    2%
  • Energy
    2%
  • Real Estate
    1%
  • Basic Materials
    1%

The sectoral distribution leans heavily towards technology, followed by communication services and consumer cyclicals. This concentration in high-growth sectors can amplify returns during bull markets but may also lead to higher volatility. The underrepresentation of defensive sectors like healthcare and utilities, which tend to be more resilient during economic downturns, further accentuates the portfolio's aggressive growth stance.

Regions Info

  • North America
    99%
  • Europe Developed
    1%

With 99% of the portfolio's assets allocated to North America, primarily the United States, there's a significant geographical concentration risk. This focus has historically provided strong returns, given the dominance of the US market. However, adding exposure to developed European or emerging markets could offer additional growth opportunities and reduce the portfolio's vulnerability to US-specific economic cycles.

Market capitalization Info

  • Mega-cap
    52%
  • Large-cap
    34%
  • Mid-cap
    14%

The market capitalization breakdown shows a preference for mega and big-cap stocks, which is typical for investors seeking stability and growth. These companies often have more established business models and global footprints, which can provide some resilience against market volatility. However, the absence of small-cap exposure limits potential high-growth opportunities that smaller companies can offer, albeit with higher risk.

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.

Considering the Efficient Frontier, there may be opportunities to optimize the portfolio for a better risk-return trade-off. This concept suggests that for any given level of risk, there is an optimal combination of assets that maximizes returns. Given the portfolio's current composition, reallocating among different asset classes or sectors could potentially improve its position on the Efficient Frontier, enhancing returns for the same or lower level of risk.

Dividends Info

  • Invesco NASDAQ 100 ETF 0.50%
  • Invesco S&P 500® Momentum ETF 0.60%
  • Vanguard S&P 500 ETF 1.20%
  • Weighted yield (per year) 0.77%

The portfolio's average dividend yield of 0.77% reflects a focus on capital appreciation over income generation. While dividends contribute to total returns, the primary growth engines here are the price appreciations of the underlying holdings. Investors seeking regular income might consider increasing exposure to higher-yielding assets or sectors.

Ongoing product costs Info

  • Invesco NASDAQ 100 ETF 0.15%
  • Invesco S&P 500® Momentum ETF 0.13%
  • Vanguard S&P 500 ETF 0.03%
  • Weighted costs total (per year) 0.10%

The portfolio's overall expense ratio of 0.10% is impressively low, which is advantageous for long-term growth. Lower costs mean more of the investment's return is retained by the investor, compounding over time. This cost efficiency is a strong aspect of the portfolio, supporting better performance relative to higher-cost alternatives.

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