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Frank Armstrong’s Ideal Index Portfolio
Performance
Return for Risk
Dividends
Drawdowns
Volatility
Diversification

Asset Allocation


S&P 500 Index

Performance

Performance Chart

The chart shows the growth of an initial investment of $10,000 in Frank Armstrong’s Ideal Index 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.


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The earliest data available for this chart is Mar 8, 2007, corresponding to the inception date of VEU

Returns By Period

As of Apr 11, 2026, the Frank Armstrong’s Ideal Index Portfolio returned 4.88% Year-To-Date and 7.89% of annualized return in the last 10 years.


1D1MYTD6M1Y3Y*5Y*10Y*
Benchmark
S&P 500 Index
-0.11%2.78%-0.42%4.03%27.10%18.38%10.55%12.70%
Portfolio
Frank Armstrong’s Ideal Index Portfolio
-0.06%3.54%4.88%9.16%24.21%11.96%6.25%7.89%
VEU
Vanguard FTSE All-World ex-US ETF
0.25%5.97%7.84%14.97%39.40%17.45%8.42%9.45%
VTV
Vanguard Value ETF
-0.81%2.61%5.99%11.27%27.06%15.55%11.18%12.13%
VNQ
Vanguard Real Estate ETF
0.22%1.97%6.20%7.60%15.60%8.09%3.71%5.16%
IJT
iShares S&P SmallCap 600 Growth ETF
-0.67%7.40%8.54%12.54%33.34%13.13%4.35%10.58%
IJS
iShares S&P SmallCap 600 Value ETF
-0.30%6.18%8.25%16.77%43.48%11.46%5.60%9.92%
VV
Vanguard Large-Cap ETF
-0.09%2.79%-0.56%3.97%28.60%20.21%11.65%14.60%
SHY
iShares 1-3 Year Treasury Bond ETF
-0.04%0.13%0.37%1.17%3.75%3.89%1.72%1.65%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Monthly Returns

Based on dividend-adjusted daily data since Mar 9, 2007, Frank Armstrong’s Ideal Index Portfolio's average daily return is +0.03%, while the average monthly return is +0.54%. At this rate, an investment would double in approximately 10.7 years.

Historically, 64% of months were positive and 36% were negative. The best month was Apr 2009 with a return of +11.1%, while the worst month was Oct 2008 at -15.3%. The longest winning streak lasted 10 consecutive months, and the longest losing streak was 6 months.

On a daily basis, Frank Armstrong’s Ideal Index Portfolio closed higher 54% of trading days. The best single day was Oct 13, 2008 with a return of +7.0%, while the worst single day was Mar 16, 2020 at -7.4%.


JanFebMarAprMayJunJulAugSepOctNovDecTotal
20263.41%2.86%-4.61%3.36%4.88%
20252.30%0.28%-1.43%-0.20%2.89%2.76%0.02%3.42%1.76%0.47%1.10%0.79%14.99%
2024-1.29%2.13%2.49%-3.06%3.12%0.01%4.02%1.64%1.70%-2.42%2.94%-3.44%7.73%
20235.98%-2.78%0.49%0.53%-2.16%3.94%2.84%-2.55%-3.18%-2.46%6.28%5.39%12.18%
2022-3.15%-1.41%0.46%-4.67%0.81%-5.65%4.43%-3.30%-7.24%4.81%6.31%-2.85%-11.79%
20210.97%2.86%2.48%2.37%1.73%0.11%-0.22%1.32%-2.56%2.78%-2.26%3.46%13.61%

Benchmark Metrics

Frank Armstrong’s Ideal Index Portfolio has an annualized alpha of -0.15%, beta of 0.68, and R² of 0.89 versus S&P 500 Index. Calculated based on daily prices since March 09, 2007.

  • This portfolio participated in 75.50% of S&P 500 Index downside but only 66.45% of its upside — more exposed to losses than it benefited from rallies.
  • Beta of 0.68 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
-0.15%
Beta
0.68
0.89
Upside Capture
66.45%
Downside Capture
75.50%

Expense Ratio

Frank Armstrong’s Ideal Index Portfolio has an expense ratio of 0.12%, 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.


Return for Risk

Risk / Return Rank

Frank Armstrong’s Ideal Index Portfolio ranks 73 for risk / return — better than 73% 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.


Frank Armstrong’s Ideal Index Portfolio Risk / Return Rank: 7373
Overall Rank
Frank Armstrong’s Ideal Index Portfolio Sharpe Ratio Rank: 7676
Sharpe Ratio Rank
Frank Armstrong’s Ideal Index Portfolio Sortino Ratio Rank: 8181
Sortino Ratio Rank
Frank Armstrong’s Ideal Index Portfolio Omega Ratio Rank: 7777
Omega Ratio Rank
Frank Armstrong’s Ideal Index Portfolio Calmar Ratio Rank: 6666
Calmar Ratio Rank
Frank Armstrong’s Ideal Index Portfolio Martin Ratio Rank: 6363
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

Return / Risk — by metrics


PortfolioBenchmarkDifference

Sharpe ratio

Return per unit of total volatility

2.82

2.23

+0.58

Sortino ratio

Return per unit of downside risk

4.05

3.12

+0.94

Omega ratio

Gain probability vs. loss probability

1.53

1.42

+0.11

Calmar ratio

Return relative to maximum drawdown

4.48

4.05

+0.44

Martin ratio

Return relative to average drawdown

18.23

17.91

+0.32


How much return does each position deliver for the risk it carries? Higher values mean better reward for the risk taken.

Risk / Return RankSharpe ratioSortino ratioOmega ratioCalmar ratioMartin ratio
VEU
Vanguard FTSE All-World ex-US ETF
773.004.041.564.4417.78
VTV
Vanguard Value ETF
762.623.771.475.3219.85
VNQ
Vanguard Real Estate ETF
281.261.771.232.548.05
IJT
iShares S&P SmallCap 600 Growth ETF
541.952.801.344.6015.85
IJS
iShares S&P SmallCap 600 Value ETF
662.333.311.405.3216.74
VV
Vanguard Large-Cap ETF
642.313.211.434.1618.21
SHY
iShares 1-3 Year Treasury Bond ETF
692.554.081.533.9214.60

Sharpe Ratio

The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk.

Frank Armstrong’s Ideal Index Portfolio Sharpe ratios as of Apr 11, 2026 (values are recalculated daily):

  • 1-Year: 2.82
  • 5-Year: 0.57
  • 10-Year: 0.67
  • All Time: 0.42

These values reflect how efficiently the investment has delivered returns relative to its volatility over different time periods. All figures are annualized and based on daily total returns (including price changes and dividends).

Compared to the broad market, where average Sharpe ratios range from 2.14 to 3.05, this portfolio's current Sharpe ratio falls between the 25th and 75th percentiles. This indicates that its risk-adjusted performance is in line with the majority of portfolios, suggesting a balanced approach to risk and return—likely suitable for a wide range of investors.

The chart below shows the rolling Sharpe ratio of Frank Armstrong’s Ideal Index Portfolio compared to the selected benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.


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Dividends

Dividend yield

Frank Armstrong’s Ideal Index Portfolio provided a 2.70% dividend yield over the last twelve months.


TTM20252024202320222021202020192018201720162015
Portfolio2.70%2.88%3.01%2.75%2.21%1.69%1.68%2.42%2.51%1.96%2.04%1.97%
VEU
Vanguard FTSE All-World ex-US ETF
2.77%3.09%3.24%3.32%3.12%3.08%2.00%3.10%3.27%2.66%2.96%2.95%
VTV
Vanguard Value ETF
1.97%2.05%2.31%2.46%2.52%2.15%2.56%2.50%2.73%2.29%2.44%2.60%
VNQ
Vanguard Real Estate ETF
3.75%3.92%3.85%3.95%3.91%2.56%3.93%3.39%4.74%4.23%4.82%3.92%
IJT
iShares S&P SmallCap 600 Growth ETF
0.82%0.91%1.06%1.02%1.08%0.63%0.68%0.92%0.92%0.86%1.03%1.14%
IJS
iShares S&P SmallCap 600 Value ETF
1.37%1.62%1.78%1.42%1.46%1.52%1.00%1.66%1.75%1.41%1.22%1.59%
VV
Vanguard Large-Cap ETF
1.09%1.08%1.24%1.41%1.66%1.19%1.46%1.81%2.09%1.75%1.98%1.96%
SHY
iShares 1-3 Year Treasury Bond ETF
3.72%3.81%3.92%2.99%1.30%0.26%0.94%2.12%1.72%0.98%0.71%0.54%

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 Frank Armstrong’s Ideal Index 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 Frank Armstrong’s Ideal Index Portfolio was 44.57%, occurring on Mar 9, 2009. Recovery took 480 trading sessions.

The current Frank Armstrong’s Ideal Index Portfolio drawdown is 1.63%.


Depth

Start

To Bottom

Bottom

To Recover

End

Total

-44.57%Nov 1, 2007339Mar 9, 2009480Feb 1, 2011819
-25.37%Jan 21, 202044Mar 23, 2020161Nov 9, 2020205
-19.24%Nov 9, 2021233Oct 12, 2022351Mar 7, 2024584
-17.54%May 2, 2011108Oct 3, 2011239Sep 13, 2012347
-13.19%Apr 29, 2015200Feb 11, 2016117Jul 29, 2016317

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 7 assets, with an effective number of assets of 4.60, 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

The table below displays the correlation coefficients between the individual components of the portfolio, the entire portfolio, and the chosen benchmark.

BenchmarkSHYVNQVEUIJSIJTVTVVVPortfolio
Benchmark1.00-0.200.660.830.810.850.911.000.92
SHY-0.201.00-0.04-0.13-0.19-0.18-0.21-0.20-0.13
VNQ0.66-0.041.000.580.680.660.690.660.75
VEU0.83-0.130.581.000.720.740.800.830.93
IJS0.81-0.190.680.721.000.950.850.810.90
IJT0.85-0.180.660.740.951.000.830.850.90
VTV0.91-0.210.690.800.850.831.000.910.91
VV1.00-0.200.660.830.810.850.911.000.92
Portfolio0.92-0.130.750.930.900.900.910.921.00
The correlation results are calculated based on daily price changes starting from Mar 9, 2007

AI Insight on Diversification


The portfolio is moderately diversified but exhibits some concentration in correlated equity positions. The correlation matrix shows that most equity ETFs (VNQ, VEU, IJS, IJT, VV, VTV) have relatively high positive correlations with each other, generally ranging from about 0.66 to 0.95. Notably, IJS and IJT have an extremely high correlation of 0.95, indicating these two small- and mid-cap value/growth segments move very closely together, which reduces diversification benefits between these holdings.

The bond ETF SHY stands out as the least correlated position, with correlations near zero or negative with all other positions (e.g., -0.13 to -0.21), providing a valuable diversification anchor against equity risk. This low correlation helps reduce overall portfolio volatility and adds defensive characteristics.

The portfolio’s correlation with individual positions is highest with VEU (0.93), VV (0.92), and IJS/IJT (0.9 each), suggesting these holdings have the greatest influence on the portfolio’s overall returns. The strong correlation with VEU (a broad international equity fund) and VV (a total U.S. stock market fund) implies a significant equity market exposure, while the high correlations with IJS and IJT reinforce concentration in specific market segments.

VNQ (real estate) also has a moderately high correlation with the portfolio (0.75), contributing to equity risk but offering some sector diversification.

Given these correlations, the portfolio is not highly concentrated in a single position but leans heavily toward equity exposure with overlapping segments, which somewhat limits diversification. The presence of SHY as a lowly correlated fixed income position is a key factor enhancing diversification. Overall, the portfolio balances broad equity market exposure with a defensive fixed income sleeve but could improve diversification by reducing overlap among highly correlated equity ETFs.

Last updated Apr 11, 2026
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