A cautious dance between stocks and bonds with a slight stumble in excitement
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 portfolio suits the cautious optimist — someone who dreams of climbing mountains but prefers the safety of the foothills. It's for the investor who wears a life jacket in a swimming pool, appreciating growth but with a keen eye on the exit. Your risk tolerance is like a carefully calibrated thermostat, avoiding the extremes. You're in it for the long haul but prefer a seatbelt and airbags, just in case.
Positions
-
Vanguard Total World Stock Index Fund ETF Shares
VT - US9220427424 80.00% -
Vanguard Total Bond Market Index Fund ETF Shares
BND - US9219378356 20.00%
So, you've decided to place a whopping 80% of your portfolio in the Vanguard Total World Stock Index Fund and the remaining 20% in the Vanguard Total Bond Market Index Fund. That's like deciding to wear both a belt and suspenders — overly cautious and a tad outdated. While there's beauty in simplicity, this strategy leans too heavily on the "put your eggs in one basket and watch that basket" philosophy. It's the investment equivalent of ordering vanilla ice cream at a gourmet dessert shop; safe, but yawn-inducing.
Growth
With a CAGR of 10.64%, your portfolio's historic performance sounds impressive at first blush, until you realize it's like celebrating a marathon finish when you started at the 25-mile mark. The real kicker? A max drawdown of -29.14%. That's like riding a roller coaster thinking it's a merry-go-round. Sure, the highs are high, but that stomach-churning drop? A harsh reminder that even the broadest indexes can give you a wild ride.
Projection
Monte Carlo simulations spit out numbers like a fortune cookie — vague and optimistic with a side of caution. Your portfolio's 50th percentile projection of 157.8% growth sounds like a dream until you remember that these simulations are as reliable as weather forecasts. They're helpful but don't bet the farm on them. Plus, with 976 out of 1,000 simulations showing positive returns, it seems like your portfolio is playing it safer than a kid with floaties in the shallow end.
Asset classes
- Stocks 79%
- Bonds 20%
- Cash 1%
- Other 0%
- No data 0%
Diving into asset classes, your portfolio is nearly as balanced as a yoga instructor, with 79% stocks and 20% bonds. But let's not forget that mysterious 1% cash lurking like loose change under the couch cushions. This allocation screams, "I want growth but fear commitment." It's a classic case of trying to have your cake and eat it too, without considering the full buffet of asset classes out there.
Sectors
- Technology 22%
- Financials 13%
- Industrials 9%
- Consumer Discretionary 9%
- Health Care 7%
- Telecommunications 7%
- Consumer Staples 4%
- Basic Materials 3%
- Energy 3%
- Utilities 2%
- Real Estate 2%
Your sector spread is like a buffet where you loaded up on carbs and forgot the protein. With technology gobbling up 22% and financial services munching on 13%, it's clear you have a taste for the sectors that shout the loudest. But let's not ignore the veggies — the underrepresented sectors that could balance your nutritional intake. This tech-heavy tilt is the diet soda of investing: seemingly smart until you read the fine print.
Regions
- North America 52%
- Europe Developed 11%
- Asia Emerging 5%
- Japan 5%
- Asia Developed 4%
- Australasia 1%
- Africa/Middle East 1%
- Latin America 1%
- Europe Emerging 0%
Geographically, your portfolio is playing it safer than a tourist with a fanny pack. With over half in North America, it's clear you prefer the comfort of home. But limiting exposure to emerging markets and other developed regions is like refusing to try local cuisine on vacation. Sure, it's safe, but think of what you're missing. Diversification isn't just a buzzword; it's the spice of investing.
Market capitalization
- Mega-cap 34%
- Large-cap 25%
- Mid-cap 15%
- Small-cap 4%
- Micro-cap 1%
When it comes to market capitalization, your portfolio leans heavily towards the giants, with 34% in mega-cap stocks. It's like being friends with the popular kids and ignoring everyone else. Sure, it feels safe, but you're missing out on the growth potential and excitement that smaller companies offer. It's time to consider spreading the love to medium and small caps, unless you want a portfolio as dynamic as a retirement home bingo night.
Dividends
- Vanguard Total Bond Market Index Fund ETF Shares 3.80%
- Vanguard Total World Stock Index Fund ETF Shares 1.70%
- Weighted yield (per year) 2.12%
Ah, dividends — the portfolio's attempt at passive income that's more passive than income. With a total yield of 2.12%, it's like finding loose change in your sofa; nice to have, but it won't fund your retirement. Relying on dividends from a heavily stock-oriented portfolio is like expecting gourmet meals from a fast-food joint. Sure, it'll sustain you, but it's hardly the feast you're dreaming of.
Ongoing product costs
- Vanguard Total Bond Market Index Fund ETF Shares 0.03%
- Vanguard Total World Stock Index Fund ETF Shares 0.07%
- Weighted costs total (per year) 0.06%
At least you're keeping costs low, with a total TER of 0.06%. It's one of the few areas where your portfolio shines, like finding a designer dress at a thrift store. In a world where fees can eat into returns like termites in a wooden house, your frugality is commendable. It's a reminder that sometimes, the best move is the one you don't make — or in this case, the money you don't spend.
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.
Speaking of optimization, your portfolio tiptoes along the Efficient Frontier like a cat on a hot tin roof. Sure, it's balanced, but it's hardly optimized for the best risk-return mix. It's like settling for a decent job that pays the bills instead of pursuing the career of your dreams. There's room for improvement, unless your dream is to live in a world of 'good enough.'
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.
