60/40
Asset Allocation
Position | Category/Sector | Weight |
---|---|---|
AGG iShares Core U.S. Aggregate Bond ETF | Total Bond Market | 40% |
SPY SPDR S&P 500 ETF | Large Cap Growth Equities | 60% |
Performance
Performance Chart
The chart shows the growth of an initial investment of $10,000 in 60/40, comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends. The portfolio is rebalanced Quarterly
The earliest data available for this chart is Sep 26, 2003, corresponding to the inception date of AGG
Returns By Period
As of Aug 27, 2024, the 60/40 returned 12.61% Year-To-Date and 8.57% of annualized return in the last 10 years.
Year-To-Date | 1 month | 6 months | 1 year | 5 years (annualized) | 10 years (annualized) | |
---|---|---|---|---|---|---|
^GSPC S&P 500 | 17.76% | 2.89% | 10.80% | 27.49% | 14.28% | 10.89% |
60/40 | 12.61% | 2.89% | 9.12% | 20.29% | 9.63% | 8.57% |
Portfolio components: | ||||||
SPY SPDR S&P 500 ETF | 18.73% | 3.00% | 11.33% | 28.43% | 15.77% | 12.85% |
AGG iShares Core U.S. Aggregate Bond ETF | 3.63% | 2.72% | 5.72% | 8.57% | 0.03% | 1.68% |
Monthly Returns
The table below presents the monthly returns of 60/40, with color gradation from worst to best to easily spot seasonal factors. Returns are adjusted for dividends.
Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2024 | 0.89% | 2.57% | 2.37% | -3.41% | 3.69% | 2.48% | 1.69% | 12.61% | |||||
2023 | 5.11% | -2.57% | 3.28% | 1.19% | -0.17% | 3.78% | 1.97% | -1.24% | -3.90% | -1.93% | 7.31% | 4.23% | 17.69% |
2022 | -3.96% | -2.21% | 1.05% | -6.77% | 0.45% | -5.49% | 6.52% | -3.68% | -7.25% | 4.34% | 4.89% | -3.92% | -15.95% |
2021 | -0.91% | 1.06% | 2.32% | 3.47% | 0.48% | 1.69% | 1.91% | 1.72% | -3.20% | 4.19% | -0.39% | 2.69% | 15.85% |
2020 | 0.79% | -4.08% | -7.44% | 8.27% | 3.22% | 1.33% | 4.08% | 3.96% | -2.42% | -1.72% | 6.98% | 2.32% | 15.10% |
2019 | 5.18% | 1.96% | 1.91% | 2.38% | -3.16% | 4.56% | 0.98% | 0.09% | 0.91% | 1.41% | 2.18% | 1.76% | 21.84% |
2018 | 2.92% | -2.62% | -1.40% | -0.06% | 1.73% | 0.39% | 2.21% | 2.17% | 0.13% | -4.41% | 1.40% | -4.33% | -2.20% |
2017 | 1.16% | 2.62% | 0.06% | 0.96% | 1.12% | 0.38% | 1.37% | 0.55% | 0.98% | 1.46% | 1.80% | 0.94% | 14.21% |
2016 | -2.47% | 0.32% | 4.26% | 0.34% | 1.02% | 0.98% | 2.42% | -0.01% | 0.02% | -1.37% | 1.18% | 1.36% | 8.18% |
2015 | -0.94% | 2.92% | -0.80% | 0.46% | 0.60% | -1.65% | 1.70% | -3.81% | -1.13% | 5.17% | 0.08% | -1.12% | 1.17% |
2014 | -1.51% | 2.84% | 0.44% | 0.75% | 1.87% | 1.23% | -0.91% | 2.82% | -1.08% | 1.84% | 1.92% | -0.09% | 10.46% |
2013 | 2.85% | 1.01% | 2.38% | 1.54% | 0.63% | -1.42% | 3.20% | -2.15% | 2.36% | 3.11% | 1.70% | 1.37% | 17.73% |
Expense Ratio
60/40 has an expense ratio of 0.07%, which is considered low compared to other funds. Below you can find the expense ratios of portfolio funds side-by-side and effortlessly compare their relative costs.
Risk-Adjusted Performance
Risk-Adjusted Performance Rank
The current risk-adjusted rank of 60/40 is 75, placing it in the top 25% of portfolios on our website in terms of risk-adjusted performance. This ranking is based on the combined values of the indicators listed below.
Risk-Adjusted Performance Indicators
This table presents a comparison of risk-adjusted performance metrics for positions. Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Sharpe ratio | Sortino ratio | Omega ratio | Calmar ratio | Martin ratio | |
---|---|---|---|---|---|
SPY SPDR S&P 500 ETF | 2.44 | 3.30 | 1.44 | 2.58 | 11.47 |
AGG iShares Core U.S. Aggregate Bond ETF | 1.34 | 1.96 | 1.23 | 0.49 | 4.66 |
Dividends
Dividend yield
60/40 granted a 2.09% dividend yield in the last twelve months.
TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
---|---|---|---|---|---|---|---|---|---|---|---|---|
60/40 | 2.09% | 2.09% | 1.95% | 1.43% | 1.77% | 2.13% | 2.41% | 2.01% | 2.18% | 2.22% | 2.08% | 2.02% |
Portfolio components: | ||||||||||||
SPY SPDR S&P 500 ETF | 1.22% | 1.40% | 1.65% | 1.20% | 1.52% | 1.75% | 2.04% | 1.80% | 2.03% | 2.06% | 1.87% | 1.81% |
AGG iShares Core U.S. Aggregate Bond ETF | 3.40% | 3.13% | 2.39% | 1.77% | 2.14% | 2.70% | 2.96% | 2.32% | 2.39% | 2.45% | 2.40% | 2.32% |
Drawdowns
Drawdowns Chart
The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.
Worst Drawdowns
The table below displays the maximum drawdowns of the 60/40. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.
The maximum drawdown for the 60/40 was 35.07%, occurring on Mar 9, 2009. Recovery took 420 trading sessions.
The current 60/40 drawdown is 0.18%.
Depth | Start | To Bottom | Bottom | To Recover | End | Total |
---|---|---|---|---|---|---|
-35.07% | Oct 10, 2007 | 355 | Mar 9, 2009 | 420 | Nov 4, 2010 | 775 |
-21.04% | Feb 20, 2020 | 23 | Mar 23, 2020 | 79 | Jul 15, 2020 | 102 |
-20.78% | Dec 28, 2021 | 202 | Oct 14, 2022 | 322 | Jan 29, 2024 | 524 |
-11.01% | Sep 21, 2018 | 65 | Dec 24, 2018 | 53 | Mar 13, 2019 | 118 |
-9.71% | Jul 25, 2011 | 50 | Oct 3, 2011 | 68 | Jan 10, 2012 | 118 |
Volatility
Volatility Chart
The current 60/40 volatility is 3.37%, representing the average percentage change in the investments's value, either up or down over the past month. The chart below shows the rolling one-month volatility.
Diversification
Asset Correlations Table
AGG | SPY | |
---|---|---|
AGG | 1.00 | -0.13 |
SPY | -0.13 | 1.00 |