Asset Allocation
Find the right asset allocation for 75/25 portfolio
Add portfolio to the optimizer to find optimal allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio OptimizerPerformance
Performance Chart
The chart shows the growth of an initial investment of $10,000 in 75/25 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 Every 3 months.
Loading charts...
Returns By Period
As of Jun 20, 2026, the 75/25 portfolio returned 9.68% Year-To-Date and 11.50% of annualized return in the last 10 years.
| Position | 1D | 1M | YTD | 6M | 1Y | 3Y* | 5Y* | 10Y* |
|---|---|---|---|---|---|---|---|---|
Benchmark S&P 500 Index | -0.37% | -0.01% | 9.16% | 8.64% | 25.22% | 19.78% | 11.99% | 13.88% |
Portfolio 75/25 portfolio | -0.07% | 0.62% | 9.68% | 9.25% | 20.97% | 14.79% | 8.79% | 11.50% |
| Portfolio components: | ||||||||
BLV Vanguard Long-Term Bond ETF | -0.55% | 1.61% | 0.81% | 0.84% | 5.47% | 1.85% | -3.65% | 0.91% |
DIA State Street SPDR Dow Jones Industrial Average ETF Trust | 0.30% | 2.44% | 8.40% | 7.75% | 24.46% | 17.24% | 10.75% | 13.70% |
MGV Vanguard Mega Cap Value ETF | 1.09% | 4.51% | 16.85% | 16.55% | 30.47% | 19.86% | 13.34% | 13.43% |
QQQ Invesco QQQ ETF | -0.25% | 2.96% | 20.41% | 19.46% | 40.91% | 27.47% | 16.94% | 22.48% |
VAW Vanguard Materials ETF | -0.13% | 2.70% | 13.13% | 11.82% | 24.61% | 11.91% | 7.19% | 10.67% |
VCLT Vanguard Long-Term Corporate Bond ETF | -0.40% | 1.31% | 1.27% | 1.30% | 6.37% | 4.08% | -2.16% | 2.24% |
VCR Vanguard Consumer Discretionary ETF | -1.81% | -1.91% | -1.51% | -3.86% | 10.99% | 12.87% | 5.42% | 13.79% |
VDC Vanguard Consumer Staples ETF | -0.71% | -2.26% | 6.86% | 6.42% | 5.06% | 7.47% | 6.96% | 7.74% |
VDE Vanguard Energy ETF | 1.27% | -8.49% | 22.80% | 24.09% | 26.80% | 15.90% | 18.82% | 8.84% |
VFH Vanguard Financials ETF | 0.54% | 3.75% | -0.69% | -1.93% | 9.84% | 20.85% | 10.29% | 13.46% |
Monthly Returns
Based on dividend-adjusted daily data since Sep 22, 2010, 75/25 portfolio's average daily return is +0.05%, while the average monthly return is +0.98%. At this rate, an investment would double in approximately 5.9 years.
Historically, 69% of months were positive and 31% were negative. The best month was Apr 2020 with a return of +11.6%, while the worst month was Mar 2020 at -11.0%. The longest winning streak lasted 10 consecutive months, and the longest losing streak was 4 months.
On a daily basis, 75/25 portfolio closed higher 56% of trading days. The best single day was Mar 13, 2020 with a return of +7.4%, while the worst single day was Mar 12, 2020 at -8.8%.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 2.54% | 2.41% | -3.57% | 5.55% | 2.71% | -0.10% | 9.68% | ||||||
| 2025 | 2.51% | 0.51% | -3.31% | -1.75% | 3.31% | 3.63% | 1.06% | 2.00% | 2.84% | 1.17% | 1.12% | -0.79% | 12.76% |
| 2024 | -0.09% | 2.57% | 3.31% | -3.98% | 3.91% | 1.31% | 2.77% | 2.21% | 2.16% | -2.16% | 5.36% | -4.36% | 13.21% |
| 2023 | 6.05% | -3.56% | 3.56% | 1.23% | -1.69% | 5.02% | 2.46% | -2.12% | -4.53% | -3.06% | 8.47% | 5.34% | 17.39% |
| 2022 | -3.86% | -1.80% | 2.66% | -7.68% | 1.03% | -7.22% | 7.81% | -3.60% | -8.85% | 5.84% | 6.12% | -4.51% | -14.79% |
| 2021 | -0.77% | 1.48% | 2.96% | 3.65% | 0.72% | 2.59% | 1.60% | 1.64% | -3.38% | 5.42% | -0.96% | 3.47% | 19.69% |
Benchmark Metrics
75/25 portfolio has an annualized alpha of 2.57%, beta of 0.70, and R2 of 0.92 versus S&P 500 Index. Calculated based on daily prices since September 22, 2010.
- This portfolio participates in less of S&P 500 Index's moves in both directions, but captures a larger share of gains (78.58%) than losses (75.54%) - typical of diversified or defensive assets.
- This portfolio generated an annualized alpha of 2.57% versus S&P 500 Index - delivering returns beyond what market exposure alone would predict.
- Beta of 0.70 indicates this portfolio moves significantly less than S&P 500 Index - a genuinely defensive profile with reduced participation in both market rallies and downturns.
- Alpha
- 2.57%
- Beta
- 0.70
- R²
- 0.92
- Upside Capture
- 78.58%
- Downside Capture
- 75.54%
Expense Ratio
75/25 portfolio has an expense ratio of 0.08%, which is considered low. Below, you can find the expense ratios of the portfolio's funds side by side and easily compare their relative costs.
Top 10 holdings
Return for Risk
Risk / Return Rank
75/25 portfolio ranks 76 for risk / return — better than 76% of Portfolios on our site. You're getting solid returns for the risk taken. A good sign, especially for investors who want growth without excessive volatility.
Return / Risk — by metrics
The table below presents risk-adjusted performance metrics for 75/25 portfolio and compares them with S&P 500 Index.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| Portfolio | Benchmark | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | 2.46 | 2.03 | +0.43 |
| Sortino ratioReturn per unit of downside risk | 3.44 | 2.75 | +0.68 |
| Omega ratioGain probability vs. loss probability | 1.46 | 1.37 | +0.09 |
| Calmar ratioReturn relative to maximum drawdown | 4.05 | 2.78 | +1.27 |
| Martin ratioReturn relative to average drawdown | 16.04 | 12.44 | +3.60 |
How much return does each position deliver for the risk it carries? Higher values mean better reward for the risk taken.
| Position | Risk / Return Rank | Sharpe ratio | Sortino ratio | Omega ratio | Calmar ratio | Martin ratio |
|---|---|---|---|---|---|---|
BLV Vanguard Long-Term Bond ETF | 20 | 0.69 | 1.04 | 1.12 | 0.96 | 2.34 |
DIA State Street SPDR Dow Jones Industrial Average ETF Trust | 59 | 1.98 | 2.87 | 1.35 | 2.52 | 9.72 |
MGV Vanguard Mega Cap Value ETF | 90 | 3.02 | 4.27 | 1.54 | 4.77 | 18.12 |
QQQ Invesco QQQ ETF | 72 | 2.33 | 3.03 | 1.41 | 3.44 | 12.79 |
VAW Vanguard Materials ETF | 38 | 1.34 | 1.93 | 1.23 | 1.84 | 5.85 |
VCLT Vanguard Long-Term Corporate Bond ETF | 23 | 0.82 | 1.21 | 1.14 | 1.22 | 2.95 |
VCR Vanguard Consumer Discretionary ETF | 17 | 0.59 | 0.94 | 1.11 | 0.71 | 2.16 |
VDC Vanguard Consumer Staples ETF | 14 | 0.40 | 0.67 | 1.08 | 0.55 | 1.09 |
VDE Vanguard Energy ETF | 36 | 1.29 | 1.78 | 1.22 | 1.90 | 5.92 |
VFH Vanguard Financials ETF | 18 | 0.66 | 0.99 | 1.12 | 0.67 | 1.74 |
Loading charts...
Dividends
Dividend yield
75/25 portfolio provided a 2.39% dividend yield over the last twelve months.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Portfolio | 2.39% | 2.46% | 2.57% | 2.48% | 2.51% | 2.04% | 2.68% | 2.41% | 2.71% | 2.42% | 2.60% | 2.75% |
| Portfolio components: | ||||||||||||
BLV Vanguard Long-Term Bond ETF | 4.78% | 4.67% | 5.09% | 4.06% | 4.17% | 3.37% | 6.12% | 3.57% | 4.07% | 3.63% | 4.16% | 4.37% |
DIA State Street SPDR Dow Jones Industrial Average ETF Trust | 1.39% | 1.43% | 1.61% | 1.81% | 1.91% | 1.58% | 1.87% | 1.85% | 2.24% | 1.97% | 2.26% | 2.33% |
MGV Vanguard Mega Cap Value ETF | 1.82% | 2.04% | 2.31% | 2.48% | 2.45% | 2.17% | 2.47% | 2.69% | 2.65% | 2.34% | 2.53% | 2.59% |
QQQ Invesco QQQ ETF | 0.49% | 0.45% | 0.56% | 0.62% | 0.80% | 0.43% | 0.55% | 0.74% | 0.91% | 0.84% | 1.06% | 0.99% |
VAW Vanguard Materials ETF | 1.36% | 1.55% | 1.70% | 1.72% | 1.98% | 1.44% | 1.67% | 1.94% | 2.03% | 1.63% | 1.67% | 2.30% |
VCLT Vanguard Long-Term Corporate Bond ETF | 5.53% | 5.51% | 5.19% | 4.67% | 4.44% | 3.07% | 3.16% | 3.81% | 4.55% | 4.01% | 4.33% | 4.68% |
VCR Vanguard Consumer Discretionary ETF | 0.74% | 0.74% | 0.74% | 0.84% | 0.98% | 0.79% | 1.71% | 1.17% | 1.37% | 1.21% | 1.60% | 1.32% |
VDC Vanguard Consumer Staples ETF | 2.15% | 2.26% | 2.33% | 2.65% | 2.37% | 2.14% | 2.50% | 2.44% | 2.78% | 2.52% | 2.39% | 2.55% |
VDE Vanguard Energy ETF | 2.56% | 3.11% | 3.23% | 3.34% | 3.65% | 4.13% | 4.76% | 3.42% | 3.35% | 2.90% | 2.31% | 3.17% |
VFH Vanguard Financials ETF | 1.47% | 1.55% | 1.75% | 2.08% | 2.31% | 1.87% | 2.21% | 2.17% | 2.30% | 1.53% | 1.63% | 2.00% |
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.
Loading charts...
Worst Drawdowns
The table below displays the maximum drawdowns of the 75/25 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 75/25 portfolio was 28.98%, occurring on Mar 20, 2020. Recovery took 84 trading sessions.
The current 75/25 portfolio drawdown is 0.67%.
Related event | Drawdown | Fall | Recovery | Underwater |
|---|---|---|---|---|
COVID crash2020 | -28.98%Mar 2020 | 29d | 4mo 3d | 5mo 2dFeb 2020 - Jul 2020 |
Bear market2022 | -21.10%Oct 2022 | 9mo 20d | 1y 2mo | 1y 12moDec 2021 - Dec 2023 |
Rate-hike selloffLate 2018 | -13.89%Dec 2018 | 2mo 22d | 2mo 27d | 5mo 19dOct 2018 - Mar 2019 |
2025 selloff2025 | -13.61%Apr 2025 | 4mo 4d | 2mo 23d | 6mo 27dDec 2024 - Jun 2025 |
2011 correction2011 | -11.09%Aug 2011 | 14d | 2mo 20d | 3mo 4dJul 2011 - Oct 2011 |
Volatility
Volatility Chart
The chart below shows the rolling one-month volatility.
Loading charts...
Diversification
Diversification Metrics
Number of Effective Assets
The portfolio contains 19 assets, with an effective number of assets of 13.56, reflecting the diversification based on asset allocation. Your capital is well-distributed across most of your holdings, with only mild concentration in a few names. True diversification also depends on the correlations between assets — check the diversification ratio below.
Diversification Ratio
1Y | 3Y | 5Y | 10Y | All Time | |
|---|---|---|---|---|---|
Diversification Ratio | 1.60 | 1.40 | 1.36 | 1.33 | 1.35 |
The portfolio has a diversification ratio of 1.35, in line with the typical range across portfolios. There's room to improve by adding less correlated assets.
75/25 portfolio correlation to the S&P 500 Index
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.89 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.90 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.92 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.93 |
Correlation (All Time) Calculated using the full available price history since Sep 22, 2010 | 0.94 |
Benchmark Correlations
Correlation vs. S&P 500 Index. VOO has the highest benchmark correlation at 1.00, while BLV has the lowest at -0.10.
Asset Correlations Table
Find what 75/25 portfolio is missing
See which holdings overlap, where 75/25 portfolio is concentrated, and which low-correlation assets could fill the gaps.
Analyze Diversification