FANG Portfolio
FANG is one of the most commonly used abbreviations in the world of finance. Jim Kramer coined it in 2013 to refer to the stocks of four fast-growing internet companies: Facebook, Amazon, Netflix, and Google. Later, investors started to add more technology companies to this group, which led to FAANG, FAAMG, and FANG Plus formation.
Asset Allocation
| Position | Category/Sector | Target Weight |
|---|---|---|
AMZN Amazon.com, Inc. | Consumer Cyclical | 25% |
GOOG Alphabet Inc | Communication Services | 25% |
META Meta Platforms, Inc. | Communication Services | 25% |
NFLX Netflix, Inc. | Communication Services | 25% |
Performance
Performance Chart
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The earliest data available for this chart is Apr 3, 2014, corresponding to the inception date of GOOG
Returns By Period
As of May 14, 2025, the FANG Portfolio returned 4.61% Year-To-Date and 27.53% of annualized return in the last 10 years.
| YTD | 1M | 6M | 1Y | 5Y* | 10Y* | |
|---|---|---|---|---|---|---|
^GSPC S&P 500 | 0.08% | 9.75% | -1.63% | 12.74% | 15.66% | 10.77% |
| FANG Portfolio | 4.61% | 14.79% | 9.45% | 30.71% | 22.64% | 27.53% |
| Portfolio components: | ||||||
META Meta Platforms, Inc. | 12.14% | 20.69% | 12.37% | 40.69% | 26.21% | 23.49% |
AMZN Amazon.com, Inc. | -3.66% | 14.33% | 1.18% | 13.29% | 12.14% | 25.88% |
GOOG Alphabet Inc | -15.42% | 0.93% | -12.04% | -5.41% | 19.06% | 19.79% |
NFLX Netflix, Inc. | 27.73% | 23.97% | 38.92% | 84.63% | 20.92% | 29.33% |
Monthly Returns
The table below presents the monthly returns of FANG Portfolio, 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 10.90% | -7.27% | -9.57% | 4.15% | 8.01% | 4.61% | |||||||
| 2024 | 7.20% | 11.42% | 2.36% | -3.85% | 7.63% | 6.98% | -5.39% | 2.98% | 4.27% | 2.27% | 7.25% | 4.77% | 58.01% |
| 2023 | 19.78% | -2.21% | 13.85% | 3.76% | 14.37% | 6.45% | 5.79% | -0.55% | -5.69% | 2.31% | 10.25% | 4.94% | 97.82% |
| 2022 | -13.11% | -9.70% | 2.87% | -25.14% | -1.45% | -10.99% | 15.23% | -2.79% | -7.75% | -4.65% | 6.85% | -6.75% | -47.97% |
| 2021 | -0.93% | 2.27% | 3.00% | 9.33% | -1.97% | 5.35% | 1.27% | 7.09% | -4.39% | 5.62% | -1.91% | -1.62% | 24.53% |
| 2020 | 5.24% | -2.63% | -4.90% | 19.31% | 3.67% | 5.08% | 9.72% | 10.82% | -8.82% | 0.56% | 5.46% | 2.56% | 52.74% |
| 2019 | 19.10% | -0.35% | 3.75% | 7.36% | -7.67% | 5.22% | -0.03% | -4.95% | -2.58% | 5.19% | 4.98% | 2.42% | 34.46% |
| 2018 | 20.65% | 1.06% | -4.22% | 5.06% | 8.74% | 5.05% | -2.78% | 5.98% | -1.79% | -14.27% | -1.38% | -7.26% | 11.21% |
| 2017 | 10.00% | 2.72% | 3.68% | 5.57% | 5.49% | -4.33% | 9.55% | -0.60% | 0.90% | 8.66% | 0.31% | 0.90% | 50.83% |
| 2016 | -6.91% | -3.96% | 7.52% | -1.21% | 7.53% | -5.12% | 6.34% | 2.32% | 3.24% | 6.09% | -6.10% | 1.50% | 10.03% |
| 2015 | 10.65% | 5.98% | -3.74% | 10.24% | 4.02% | 3.13% | 18.80% | -2.38% | -3.04% | 14.32% | 6.55% | -0.72% | 81.52% |
| 2014 | -6.28% | 11.01% | 4.70% | -0.10% | 5.94% | -0.91% | -6.63% | 0.13% | -3.23% | 3.35% |
Expense Ratio
FANG Portfolio has an expense ratio of 0.00%, meaning no management fees are charged. Below, you can find the expense ratios of the portfolio's funds side by side and easily compare their relative costs.
Risk-Adjusted Performance
Risk-Adjusted Performance Rank
The current rank of FANG Portfolio is 73, indicating average performance compared to other portfolios on our website. Here’s a breakdown of how it compares using common performance measures.
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 | |
|---|---|---|---|---|---|
META Meta Platforms, Inc. | 1.11 | 1.64 | 1.21 | 1.13 | 3.50 |
AMZN Amazon.com, Inc. | 0.39 | 0.71 | 1.09 | 0.37 | 1.00 |
GOOG Alphabet Inc | -0.18 | -0.05 | 0.99 | -0.20 | -0.43 |
NFLX Netflix, Inc. | 2.62 | 3.42 | 1.45 | 4.49 | 14.68 |
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Dividends
Dividend yield
FANG Portfolio provided a 0.20% dividend yield over the last twelve months.
| TTM | 2024 | |
|---|---|---|
| Portfolio | 0.20% | 0.16% |
| Portfolio components: | ||
META Meta Platforms, Inc. | 0.31% | 0.34% |
AMZN Amazon.com, Inc. | 0.00% | 0.00% |
GOOG Alphabet Inc | 0.50% | 0.32% |
NFLX Netflix, Inc. | 0.00% | 0.00% |
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.
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Worst Drawdowns
The table below displays the maximum drawdowns of the FANG 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 FANG Portfolio was 55.92%, occurring on Nov 3, 2022. Recovery took 304 trading sessions.
The current FANG Portfolio drawdown is 7.28%.
Depth | Start | To Bottom | Bottom | To Recover | End | Total |
|---|---|---|---|---|---|---|
| -55.92% | Nov 22, 2021 | 240 | Nov 3, 2022 | 304 | Jan 23, 2024 | 544 |
| -32.1% | Jul 26, 2018 | 105 | Dec 24, 2018 | 84 | Apr 26, 2019 | 189 |
| -26.47% | Feb 20, 2020 | 18 | Mar 16, 2020 | 32 | Apr 30, 2020 | 50 |
| -25.03% | Feb 5, 2025 | 42 | Apr 4, 2025 | — | — | — |
| -20.45% | Dec 7, 2015 | 43 | Feb 8, 2016 | 121 | Aug 1, 2016 | 164 |
Volatility
Volatility Chart
The chart below shows the rolling one-month volatility.
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Diversification
Diversification Metrics
Number of Effective Assets
The portfolio contains 4 assets, with an effective number of assets of 4.00, reflecting the diversification based on asset allocation. This number of effective assets suggests a highly concentrated portfolio, where a few assets dominate the allocation, potentially increasing the portfolio's risk due to lack of diversification.
Asset Correlations Table
| ^GSPC | NFLX | META | GOOG | AMZN | Portfolio | |
|---|---|---|---|---|---|---|
| ^GSPC | 1.00 | 0.51 | 0.61 | 0.70 | 0.64 | 0.71 |
| NFLX | 0.51 | 1.00 | 0.51 | 0.48 | 0.54 | 0.79 |
| META | 0.61 | 0.51 | 1.00 | 0.65 | 0.61 | 0.81 |
| GOOG | 0.70 | 0.48 | 0.65 | 1.00 | 0.67 | 0.80 |
| AMZN | 0.64 | 0.54 | 0.61 | 0.67 | 1.00 | 0.83 |
| Portfolio | 0.71 | 0.79 | 0.81 | 0.80 | 0.83 | 1.00 |
AI Insight on Diversification
The portfolio is moderately diversified but leans toward concentration due to the relatively high correlations among its constituent positions. The individual stocks—NFLX, META, GOOG, and AMZN—exhibit correlation coefficients ranging from about 0.48 to 0.67 with each other, indicating a generally strong positive relationship. This level of correlation suggests that the stocks tend to move in the same direction, which limits the diversification benefits within the portfolio.
None of the pairwise correlations are particularly low; the lowest correlation is 0.48 (between NFLX and GOOG), which still indicates a moderate positive relationship. This means there are no positions in the portfolio that provide significant diversification through low correlation. The absence of lowly correlated assets reduces the portfolio’s ability to mitigate risk through diversification.
The portfolio’s correlation with each individual position is quite high, ranging from 0.79 to 0.83. This indicates that the portfolio’s overall performance is closely tied to the movements of each stock, with no single position overwhelmingly dominating but all contributing strongly to the portfolio’s behavior. The relatively uniform high correlations suggest that the portfolio’s risk and return profile is heavily influenced by the collective performance of these four stocks rather than any one outlier.
In summary, the portfolio is concentrated in a group of stocks that move similarly, which limits diversification benefits. While it may capture the growth potential of these major tech companies, it is exposed to sector-specific or market-wide risks that affect all these stocks simultaneously. Investors seeking broader risk mitigation might consider adding assets with lower correlations to this group.