Bill Bernstein No Brainer Portfolio
No Brainer Portfolio is perhaps the most straightforward portfolio presented by William Bernstein in his book The Intelligent Asset Allocator. It is a simple and diversified investment strategy that allocates assets equally across four core asset classes. With a 25% allocation each to VEA, VB, BND, and VOO, the portfolio covers international developed markets, U.S. small-cap stocks, U.S. total bond market, and U.S. large-cap stocks. This balanced approach aims to provide a mix of capital appreciation, income, and diversification benefits. The portfolio suits investors seeking a straightforward, easy-to-manage investment strategy that balances stability, revenue, and growth potential.
Asset Allocation
| Position | Category/Sector | Weight |
|---|---|---|
BND Vanguard Total Bond Market ETF | Total Bond Market | 25% |
VB Vanguard Small-Cap ETF | Small Cap Growth Equities | 25% |
VEA Vanguard FTSE Developed Markets ETF | Foreign Large Cap Equities | 25% |
VOO Vanguard S&P 500 ETF | Large Cap Growth Equities | 25% |
Performance
Performance Chart
The chart shows the growth of an initial investment of $10,000 in Bill Bernstein No Brainer Portfolio, 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 9, 2010, corresponding to the inception date of VOO
Returns By Period
As of Apr 25, 2024, the Bill Bernstein No Brainer Portfolio returned 1.98% Year-To-Date and 7.10% 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 | 5.84% | -2.98% | 22.02% | 24.47% | 11.44% | 10.46% |
| Bill Bernstein No Brainer Portfolio | 1.57% | -2.97% | 16.93% | 13.32% | 7.21% | 7.06% |
| Portfolio components: | ||||||
VEA Vanguard FTSE Developed Markets ETF | 1.88% | -2.84% | 18.53% | 9.79% | 6.19% | 4.64% |
VB Vanguard Small-Cap ETF | 1.27% | -3.80% | 22.36% | 19.74% | 7.94% | 8.68% |
BND Vanguard Total Bond Market ETF | -3.21% | -2.33% | 4.49% | -1.42% | -0.22% | 1.17% |
VOO Vanguard S&P 500 ETF | 6.24% | -2.94% | 22.95% | 26.43% | 13.29% | 12.51% |
Monthly Returns Heatmap
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | -0.58% | 3.08% | 3.07% | |||||||||
| 2023 | -4.16% | -3.23% | 7.91% | 5.99% |
Expense Ratio
The Bill Bernstein No Brainer Portfolio has an expense ratio of 0.04% which is considered to be low. 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 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 | |
|---|---|---|---|---|---|
VEA Vanguard FTSE Developed Markets ETF | 0.77 | 1.18 | 1.14 | 0.59 | 2.36 |
VB Vanguard Small-Cap ETF | 1.08 | 1.64 | 1.19 | 0.77 | 3.36 |
BND Vanguard Total Bond Market ETF | -0.26 | -0.33 | 0.96 | -0.10 | -0.60 |
VOO Vanguard S&P 500 ETF | 2.21 | 3.20 | 1.38 | 1.89 | 9.03 |
Dividends
Dividend yield
Bill Bernstein No Brainer Portfolio granted a 2.41% dividend yield in the last twelve months.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Bill Bernstein No Brainer Portfolio | 2.41% | 2.31% | 2.20% | 1.90% | 1.74% | 2.26% | 2.47% | 2.11% | 2.27% | 2.27% | 2.44% | 2.13% |
| Portfolio components: | ||||||||||||
VEA Vanguard FTSE Developed Markets ETF | 3.38% | 3.15% | 2.91% | 3.16% | 2.04% | 3.04% | 3.35% | 2.77% | 3.05% | 2.92% | 3.68% | 2.60% |
VB Vanguard Small-Cap ETF | 1.51% | 1.55% | 1.59% | 1.24% | 1.14% | 1.39% | 1.67% | 1.35% | 1.50% | 1.48% | 1.43% | 1.31% |
BND Vanguard Total Bond Market ETF | 3.37% | 3.09% | 2.60% | 1.97% | 2.22% | 2.72% | 2.81% | 2.54% | 2.51% | 2.57% | 2.79% | 2.78% |
VOO Vanguard S&P 500 ETF | 1.39% | 1.46% | 1.69% | 1.25% | 1.54% | 1.88% | 2.06% | 1.78% | 2.02% | 2.10% | 1.85% | 1.84% |
Drawdowns
Drawdowns Chart
The Drawdowns chart displays portfolio losses from any high point along the way.
Worst Drawdowns
The table below displays the maximum drawdowns of the Bill Bernstein No Brainer Portfolio. 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 Bill Bernstein No Brainer Portfolio was 27.91%, occurring on Mar 23, 2020. Recovery took 99 trading sessions.
The current Bill Bernstein No Brainer Portfolio drawdown is 3.45%.
Depth | Start | To Bottom | Bottom | To Recover | End | Total |
|---|---|---|---|---|---|---|
| -27.91% | Feb 13, 2020 | 27 | Mar 23, 2020 | 99 | Aug 12, 2020 | 126 |
| -23.68% | Nov 9, 2021 | 235 | Oct 14, 2022 | 345 | Mar 1, 2024 | 580 |
| -17.46% | May 2, 2011 | 108 | Oct 3, 2011 | 114 | Mar 16, 2012 | 222 |
| -14.96% | Aug 30, 2018 | 80 | Dec 24, 2018 | 75 | Apr 12, 2019 | 155 |
| -13.97% | May 22, 2015 | 183 | Feb 11, 2016 | 117 | Jul 29, 2016 | 300 |
Volatility
Volatility Chart
The current Bill Bernstein No Brainer Portfolio volatility is 3.00%, 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
| BND | VEA | VB | VOO | |
|---|---|---|---|---|
| BND | 1.00 | -0.09 | -0.13 | -0.13 |
| VEA | -0.09 | 1.00 | 0.78 | 0.83 |
| VB | -0.13 | 0.78 | 1.00 | 0.88 |
| VOO | -0.13 | 0.83 | 0.88 | 1.00 |