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Bill Schultheis Coffee House Portfolio

Last updated Feb 7, 2023

The Coffee House Portfolio is an investment strategy developed by Bill Schultheis, a financial advisor and author of "The Coffeehouse Investor." It is designed to be a simple, low-cost, diversified portfolio that individual investors can quickly implement.

The Coffee House Portfolio comprises a mix of three index funds: a domestic stock index fund, an international stock index fund, and a bond index fund. The specific asset classes and investments within each category can vary, but the overall allocation is meant to be relatively stable over time. In addition, the portfolio is designed to be globally diversified and to balance growth and income.

One of the fundamental principles of the Coffee House Portfolio is the idea of "passive investing," which involves using index funds to track the performance of a broad market or market segment rather than trying to beat the market through active stock picking or market timing. The goal is to maximize returns while minimizing costs and complexity to produce consistent, long-term results.

Expense Ratio

Rank 22 of 54

Dividend Yield

Rank 15 of 54

10Y Annualized Return

Rank 30 of 54

Sharpe Ratio

Rank 20 of 54

Maximum Drawdown

Rank 19 of 54


Bill Schultheis Coffee House PortfolioAsset Allocation

Bill Schultheis Coffee House PortfolioPerformance

The chart shows the growth of $10,000 invested in Bill Schultheis Coffee House Portfolio in Sep 2022 and compares it to the S&P 500 index or another benchmark. It would be worth nearly $24,714 for a total return of roughly 147.14%. All prices are adjusted for splits and dividends. The portfolio is rebalanced Quarterly

Bill Schultheis Coffee House Portfolio
Benchmark (^GSPC)
Portfolio components

Bill Schultheis Coffee House PortfolioReturns

As of Feb 7, 2023, the Bill Schultheis Coffee House Portfolio returned 5.85% Year-To-Date and 6.68% of annualized return in the last 10 years.

Bill Schultheis Coffee House Portfolio3.48%5.85%1.53%-4.78%5.77%6.68%
Vanguard S&P 500 ETF
Vanguard Total Bond Market ETF
Vanguard Value ETF
Vanguard Real Estate ETF
Vanguard FTSE Developed Markets ETF
Vanguard Small-Cap ETF
Vanguard Small-Cap Value ETF

Bill Schultheis Coffee House PortfolioSharpe Ratio Chart

The Sharpe ratio shows whether the portfolio's excess returns are due to smart investment decisions or a result of taking a higher risk. The higher a portfolio's Sharpe ratio, the better its risk-adjusted performance.

The current Bill Schultheis Coffee House Portfolio Sharpe ratio is -0.34. A negative Sharpe ratio means that the risk-free rate is higher than the portfolio's return. This value does not convey any meaningful information.

The chart below displays rolling 12-month Sharpe Ratio.

Bill Schultheis Coffee House Portfolio
Benchmark (^GSPC)
Portfolio components

Bill Schultheis Coffee House PortfolioDividends

Bill Schultheis Coffee House Portfolio granted a 2.47% dividend yield in the last twelve months.


Dividend yield


Bill Schultheis Coffee House PortfolioDrawdowns Chart

The Drawdowns chart displays portfolio losses from any high point along the way.

Bill Schultheis Coffee House Portfolio
Benchmark (^GSPC)
Portfolio components

Bill Schultheis Coffee House PortfolioWorst Drawdowns

The table below shows the maximum drawdowns of the Bill Schultheis Coffee House Portfolio. A maximum drawdown is an indicator of risk. It shows a reduction in portfolio value from its maximum due to a series of losing trades.

The maximum drawdown since January 2010 for the Bill Schultheis Coffee House Portfolio is 24.01%, recorded on Mar 23, 2020. It took 141 trading sessions for the portfolio to recover.



To Bottom


To Recover



-24.01%Feb 21, 202022Mar 23, 2020141Oct 12, 2020163
-20.2%Nov 8, 2021236Oct 14, 2022
-12.76%Jul 8, 201161Oct 3, 201183Feb 1, 2012144
-11.01%Aug 30, 201880Dec 24, 201856Mar 18, 2019136
-9.42%Apr 27, 2015202Feb 11, 201646Apr 19, 2016248
-6.39%May 22, 201323Jun 24, 201360Sep 18, 201383
-6.27%Jan 29, 20189Feb 8, 2018124Aug 7, 2018133
-5.55%Apr 3, 201243Jun 4, 201243Aug 3, 201286
-4.44%Sep 8, 201426Oct 13, 201419Nov 7, 201445
-4.43%Sep 8, 201641Nov 3, 201623Dec 7, 201664

Bill Schultheis Coffee House PortfolioVolatility Chart

Current Bill Schultheis Coffee House Portfolio volatility is 7.69%. The chart below shows the rolling 10-day volatility. Volatility is a statistical measure showing how big price swings are in either direction. The higher asset volatility, the riskier it is, because the price movements are less predictable.

Bill Schultheis Coffee House Portfolio
Benchmark (^GSPC)
Portfolio components