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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

0.65%
0.00%0.94%
Dividend Yield

Rank 46 of 53

0.89%
0.00%3.84%
10Y Annualized Return

Rank 9 of 53

16.93%
3.30%29.91%
Sharpe Ratio

Rank 40 of 53

-0.83
-1.860.45
Maximum Drawdown

Rank 50 of 53

-38.69%
-48.20%-10.21%

Stocks/Bonds 40/60 Leveraged PortfolioAsset Allocation


Stocks/Bonds 40/60 Leveraged PortfolioPerformance

The chart shows the growth of $10,000 invested in Stocks/Bonds 40/60 Leveraged Portfolio on Jan 5, 2010 and compares it to the S&P 500 index or another benchmark. It would be worth nearly $93,813 for a total return of roughly 838.13%. All prices are adjusted for splits and dividends. The portfolio is rebalanced Quarterly


Stocks/Bonds 40/60 Leveraged Portfolio
Benchmark (^GSPC)
Portfolio components

Stocks/Bonds 40/60 Leveraged PortfolioReturns

As of May 17, 2022, the Stocks/Bonds 40/60 Leveraged Portfolio returned -37.19% Year-To-Date and 16.93% of annualized return in the last 10 years.


1MYTD6M1Y5Y10Y
Benchmark-8.76%-15.91%-14.41%-3.97%10.80%11.90%
Stocks/Bonds 40/60 Leveraged Portfolio-14.18%-37.19%-35.57%-20.24%14.32%16.93%
TMF
Direxion Daily 20-Year Treasury Bull 3X
-12.30%-53.59%-53.19%-42.53%-6.08%-3.01%
TLT
iShares 20+ Year Treasury Bond ETF
-3.89%-21.35%-20.71%-14.11%1.11%1.69%
UPRO
ProShares UltraPro S&P 500
-25.81%-43.82%-41.22%-17.50%20.93%31.68%

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 -0.83. A negative Sharpe ratio means that the risk-free rate is higher than the portfolio's return. This value does not convey any meaningful information.

The chart below displays rolling 12-month Sharpe Ratio.


Stocks/Bonds 40/60 Leveraged Portfolio
Benchmark (^GSPC)
Portfolio components

Stocks/Bonds 40/60 Leveraged PortfolioDividends

Stocks/Bonds 40/60 Leveraged Portfolio granted a 0.89% dividend yield in the last twelve months, as of May 17, 2022.


PeriodTTM202120202019201820172016201520142013201220112010

Dividend yield

0.89%0.65%1.50%1.30%1.69%1.15%1.21%1.33%1.34%1.73%1.39%1.86%3.41%

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 (^GSPC)
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 38.69%, recorded on May 9, 2022. The portfolio has not recovered from it yet.


Depth

Start

To Bottom

Bottom

To Recover

End

Total

-38.69%Dec 28, 202192May 9, 2022
-32.28%Mar 9, 20208Mar 18, 202050May 29, 202058
-19.01%Jan 29, 2018229Dec 24, 201856Mar 18, 2019285
-16.83%Feb 3, 2015165Sep 28, 2015128Apr 1, 2016293
-16.78%Sep 3, 202041Oct 30, 202042Dec 31, 202083
-14.13%May 22, 201364Aug 21, 201385Dec 20, 2013149
-13.41%Aug 24, 201658Nov 14, 2016105Apr 18, 2017163
-11.65%Jan 26, 202127Mar 4, 202127Apr 13, 202154
-10.08%Sep 3, 202126Oct 11, 202114Oct 29, 202140
-9.36%Feb 21, 20205Feb 27, 20206Mar 6, 202011

Stocks/Bonds 40/60 Leveraged PortfolioVolatility Chart

Current Stocks/Bonds 40/60 Leveraged Portfolio volatility is 47.81%. 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 (^GSPC)
Portfolio components

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