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Stocks/Bonds 40/60 Leveraged Portfolio

This is a leveraged alternative to the classical 40/60 Portfolio. It is implemented without borrowing money at the portfolio level but using leveraged ETFs. Note that leveraged ETFs may involve a substantial risk of loss and are not suitable for all investors.

Expense Ratio

Rank 52 of 53

0.66%
0.00%0.94%
Dividend Yield

Rank 18 of 53

1.70%
0.00%2.60%
10Y Annualized Return

Rank 5 of 53

32.37%
4.72%40.02%
Sharpe Ratio

Rank 53 of 53

1.08
1.083.46
Maximum Drawdown

Rank 48 of 53

-32.14%
-38.24%-8.85%

Stocks/Bonds 40/60 Leveraged PortfolioAsset Allocation


S&P 500

Stocks/Bonds 40/60 Leveraged PortfolioPerformance

The chart shows the growth of $10,000 invested in Stocks/Bonds 40/60 Leveraged Portfolio on Feb 12, 2010 and compares it to the S&P 500 index or another benchmark. It would be worth nearly $257,613 for a total return of roughly 2,476.13%. All prices are adjusted for splits and dividends. The portfolio is rebalanced Quarterly


Stocks/Bonds 40/60 Leveraged Portfolio
Benchmark (S&P 500)
Portfolio components

Stocks/Bonds 40/60 Leveraged PortfolioReturns

As of Jun 12, 2021, the Stocks/Bonds 40/60 Leveraged Portfolio returned -1.52% Year-To-Date and 32.37% of annualized return in the last 10 years.


1MYTD6M1Y5Y10Y
Stocks/Bonds 40/60 Leveraged Portfolio13.50%-0.09%1.90%31.97%34.76%32.59%
TLT
iShares 20+ Year Treasury Bond ETF
4.45%-9.18%-8.64%-10.10%3.23%6.55%
TMF
Direxion Daily 20-Year Treasury Bull 3X
13.54%-27.41%-26.11%-30.64%0.55%11.15%
TQQQ
ProShares UltraPro QQQ
22.43%24.41%28.33%142.34%70.60%54.61%

Stocks/Bonds 40/60 Leveraged 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 Stocks/Bonds 40/60 Leveraged Portfolio Sharpe ratio is 1.08. A Sharpe ratio greater than 1.0 is considered acceptable.

The chart below displays rolling 12-month Sharpe Ratio.


Stocks/Bonds 40/60 Leveraged Portfolio
Benchmark (S&P 500)
Portfolio components

Stocks/Bonds 40/60 Leveraged PortfolioDividends

Stocks/Bonds 40/60 Leveraged Portfolio granted a 0.00% dividend yield in the last twelve months, as of Jun 12, 2021.


PeriodTTM20202019201820172016201520142013201220112010

Dividend yield

0.00%1.44%1.12%1.39%1.06%1.04%1.05%1.08%1.42%1.02%1.46%2.69%

Stocks/Bonds 40/60 Leveraged PortfolioDrawdowns Chart

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


Stocks/Bonds 40/60 Leveraged Portfolio
Benchmark (S&P 500)
Portfolio components

Stocks/Bonds 40/60 Leveraged PortfolioWorst Drawdowns

The table below shows the maximum drawdowns of the Stocks/Bonds 40/60 Leveraged 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 Stocks/Bonds 40/60 Leveraged Portfolio is 32.14%, recorded on Mar 18, 2020. It took 29 trading sessions for the portfolio to recover.


Depth

Start

To Bottom

Bottom

To Recover

End

Total

-32.14%Feb 20, 202020Mar 18, 202029Apr 29, 202049
-21.67%Aug 30, 201880Dec 24, 201858Mar 20, 2019138
-21.54%Sep 3, 202041Oct 30, 2020
-16.69%Jan 29, 20189Feb 8, 201887Jun 14, 201896
-16.51%Sep 29, 201645Dec 1, 201657Feb 24, 2017102
-15.56%Apr 27, 201585Aug 25, 201543Oct 26, 2015128
-14.43%May 22, 201323Jun 24, 201380Oct 16, 2013103
-11.56%Dec 2, 201532Jan 19, 201651Apr 1, 201683
-10.14%Sep 7, 201248Nov 15, 2012100Apr 12, 2013148
-9.27%Nov 9, 201112Nov 25, 201131Jan 11, 201243

Stocks/Bonds 40/60 Leveraged PortfolioVolatility Chart

Current Stocks/Bonds 40/60 Leveraged Portfolio volatility is 6.68%. 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.


Stocks/Bonds 40/60 Leveraged Portfolio
Benchmark (S&P 500)
Portfolio components

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