Asset Allocation
| Position | Category/Sector | Target Weight |
|---|---|---|
IVE iShares S&P 500 Value ETF | Large Cap Value Equities, S&P 500 | 55% |
TIP iShares TIPS Bond ETF | Inflation-Protected Bonds | 15% |
VCSH Vanguard Short-Term Corporate Bond ETF | Corporate Bonds | 15% |
VGSH Vanguard Short-Term Treasury ETF | Government Bonds, Short-Term Bond | 15% |
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Add portfolio to the optimizer to find optimal allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
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Performance Chart
The chart shows the growth of an initial investment of $10,000 in sq 1, 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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Returns By Period
As of Jul 18, 2026, the sq 1 returned 5.85% Year-To-Date and 7.62% of annualized return in the last 10 years.
| Position | 1D | 1M | 6M | YTD | 1Y | 3Y* | 5Y* | 10Y* |
|---|---|---|---|---|---|---|---|---|
Benchmark S&P 500 Index | -1.01% | 0.51% | 7.46% | 8.94% | 18.43% | 17.86% | 11.50% | 13.17% |
Portfolio sq 1 | -0.24% | 1.47% | 4.43% | 5.85% | 11.86% | 9.69% | 7.17% | 7.62% |
| Portfolio components: | ||||||||
IVE iShares S&P 500 Value ETF | -0.52% | 2.37% | 7.21% | 9.83% | 18.94% | 13.90% | 11.63% | 11.60% |
TIP iShares TIPS Bond ETF | 0.28% | 0.27% | 1.03% | 1.13% | 3.20% | 3.69% | 0.52% | 2.37% |
VCSH Vanguard Short-Term Corporate Bond ETF | 0.01% | 0.38% | 0.88% | 0.92% | 3.98% | 5.49% | 2.38% | 2.67% |
VGSH Vanguard Short-Term Treasury ETF | 0.00% | 0.44% | 0.85% | 0.83% | 3.25% | 4.25% | 1.90% | 1.75% |
Monthly Returns
Based on dividend-adjusted daily data since Nov 23, 2009, sq 1's average daily return is +0.03%, while the average monthly return is +0.65%. At this rate, an investment would double in approximately 8.9 years.
Historically, 66% of months were positive and 34% were negative. The best month was Nov 2020 with a return of +7.4%, while the worst month was Mar 2020 at -8.6%. The longest winning streak lasted 10 consecutive months, and the longest losing streak was 5 months.
On a daily basis, sq 1 closed higher 55% of trading days. The best single day was Mar 24, 2020 with a return of +4.5%, while the worst single day was Mar 16, 2020 at -6.0%.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 1.51% | 1.59% | -2.94% | 3.53% | 1.16% | -0.03% | 1.00% | 5.85% | |||||
| 2025 | 1.88% | 0.85% | -1.42% | -1.83% | 1.54% | 2.47% | 0.45% | 2.48% | 1.12% | 0.75% | 1.15% | 0.17% | 9.96% |
| 2024 | 0.27% | 1.33% | 2.80% | -2.77% | 2.16% | -0.09% | 3.30% | 2.04% | 1.07% | -1.21% | 3.48% | -4.13% | 8.23% |
| 2023 | 4.51% | -2.21% | 1.63% | 1.08% | -1.33% | 3.59% | 2.05% | -1.60% | -2.92% | -1.07% | 6.16% | 3.92% | 14.17% |
| 2022 | -1.51% | -0.82% | 0.89% | -3.35% | 0.96% | -5.25% | 4.19% | -2.34% | -6.22% | 6.47% | 4.06% | -2.42% | -5.99% |
| 2021 | -0.86% | 2.93% | 3.54% | 2.29% | 1.52% | -0.57% | 0.91% | 0.86% | -2.00% | 2.53% | -1.73% | 3.90% | 13.93% |
Benchmark Metrics
sq 1 has an annualized alpha of 1.50%, beta of 0.49, and R2 of 0.86 versus S&P 500 Index. Calculated based on daily prices since November 23, 2009.
- This portfolio participated in 58.14% of S&P 500 Index downside but only 53.48% of its upside - more exposed to losses than it benefited from rallies.
- Beta of 0.49 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
- 1.50%
- Beta
- 0.49
- R²
- 0.86
- Upside Capture
- 53.48%
- Downside Capture
- 58.14%
Expense Ratio
sq 1 has an expense ratio of 0.14%, 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
sq 1 ranks 75 for risk / return — better than 75% 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 sq 1 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 | 2.06 | 1.47 | +0.59 |
| Sortino ratioReturn per unit of downside risk | 2.99 | 2.05 | +0.94 |
| Omega ratioGain probability vs. loss probability | 1.38 | 1.27 | +0.12 |
| Calmar ratioReturn relative to maximum drawdown | 2.95 | 2.03 | +0.91 |
| Martin ratioReturn relative to average drawdown | 11.75 | 8.80 | +2.95 |
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 |
|---|---|---|---|---|---|---|
IVE iShares S&P 500 Value ETF | 76 | 1.93 | 2.71 | 1.35 | 3.07 | 11.64 |
TIP iShares TIPS Bond ETF | 33 | 0.93 | 1.38 | 1.16 | 1.63 | 4.59 |
VCSH Vanguard Short-Term Corporate Bond ETF | 80 | 2.07 | 3.13 | 1.40 | 2.85 | 11.48 |
VGSH Vanguard Short-Term Treasury ETF | 90 | 2.48 | 3.94 | 1.52 | 3.69 | 14.24 |
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Dividends
Dividend yield
sq 1 provided a 2.75% dividend yield over the last twelve months.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Portfolio | 2.75% | 2.66% | 2.72% | 2.28% | 2.67% | 2.01% | 2.08% | 2.20% | 2.58% | 1.98% | 1.90% | 1.81% |
| Portfolio components: | ||||||||||||
IVE iShares S&P 500 Value ETF | 1.53% | 1.61% | 2.04% | 1.65% | 2.10% | 1.81% | 2.37% | 2.11% | 2.74% | 2.12% | 2.26% | 2.44% |
TIP iShares TIPS Bond ETF | 4.44% | 3.46% | 2.52% | 2.73% | 6.96% | 4.28% | 1.17% | 1.75% | 2.71% | 2.07% | 1.48% | 0.34% |
VCSH Vanguard Short-Term Corporate Bond ETF | 4.45% | 4.35% | 3.96% | 3.09% | 2.01% | 1.81% | 2.27% | 2.87% | 2.65% | 2.26% | 2.10% | 2.08% |
VGSH Vanguard Short-Term Treasury ETF | 3.84% | 4.00% | 4.18% | 3.31% | 1.15% | 0.66% | 1.74% | 2.28% | 1.79% | 1.10% | 0.84% | 0.69% |
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 sq 1. 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 sq 1 was 21.19%, occurring on Mar 23, 2020. Recovery took 162 trading sessions.
The current sq 1 drawdown is 0.24%.
Drawdown | Fall | Recovery | Underwater | Related event |
|---|---|---|---|---|
-21.19%Mar 2020 | 1mo 9d | 7mo 22d | 9mo 1dFeb 2020 - Nov 2020 | COVID crash2020 |
-13.60%Sep 2022 | 8mo 28d | 8mo 18d | 1y 5moJan 2022 - Jun 2023 | Bear market2022 |
-11.49%Oct 2011 | 5mo 4d | 3mo 19d | 8mo 23dMay 2011 - Jan 2012 | — |
-10.47%Dec 2018 | 10mo 29d | 3mo 8d | 1y 2moJan 2018 - Apr 2019 | Rate-hike selloffLate 2018 |
-9.37%Apr 2025 | 4mo 7d | 2mo 26d | 7mo 3dDec 2024 - Jul 2025 | 2025 selloff2025 |
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 2.70, reflecting the diversification based on asset allocation. Your allocation shows noticeable concentration: a few holdings carry significantly more weight than the rest. Rebalancing toward more even weights — or adding less correlated assets — could reduce risk.
Diversification Ratio
1Y | 3Y | 5Y | 10Y | All Time | |
|---|---|---|---|---|---|
Diversification Ratio | 1.12 | 1.12 | 1.14 | 1.14 | 1.15 |
The portfolio has a diversification ratio of 1.15, placing it in the bottom quartile across portfolios — positions are highly correlated. Consider adding assets from different classes or sectors to reduce risk.
sq 1 correlation to the S&P 500 Index
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.73 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.76 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.83 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.85 |
Correlation (All Time) Calculated using the full available price history since Nov 23, 2009 | 0.90 |
Benchmark Correlations
Correlation vs. S&P 500 Index. IVE has the highest benchmark correlation at 0.90, while VGSH has the lowest at -0.13.
Asset Correlations Table
Find what sq 1 is missing
See which holdings overlap, where sq 1 is concentrated, and which low-correlation assets could fill the gaps.
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