Magnum Experiment 40

Asset Allocation

Position	Category/Sector	Target Weight
BRK-B Berkshire Hathaway Inc.	Financial Services	5.56%
COST Costco Wholesale Corporation	Consumer Defensive	6.44%
JNJ Johnson & Johnson	Healthcare	10.31%
LLY Eli Lilly and Company	Healthcare	7.18%
LMT Lockheed Martin Corporation	Industrials	6.65%
MCD McDonald's Corporation	Consumer Cyclical	7.34%
NVO Novo Nordisk A/S	Healthcare	5.23%
PEP PepsiCo, Inc.	Consumer Defensive	6.99%
PG The Procter & Gamble Company	Consumer Defensive	7.02%
QQQ Invesco QQQ ETF	Nasdaq-100	4.70%
TMO Thermo Fisher Scientific Inc.	Healthcare	4.31%
UNP Union Pacific Corporation	Industrials	3.33%
VOO Vanguard S&P 500 ETF	S&P 500	6.73%
VZ Verizon Communications Inc.	Communication Services	11.11%
WMT Walmart Inc.	Consumer Defensive	7.10%

Benchmark Against

Benchmark

S&P 500 Index

Rebalance

Performance

Performance Chart

The chart shows the growth of an initial investment of $10,000 in Magnum Experiment 40, 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 Sep 9, 2010, corresponding to the inception date of VOO

Returns By Period

As of Apr 11, 2026, the Magnum Experiment 40 returned 6.05% Year-To-Date and 14.90% of annualized return in the last 10 years.

	1D	1M	YTD	6M	1Y	3Y*	5Y*	10Y*
Benchmark S&P 500 Index	-0.11%	2.16%	-0.42%	4.03%	27.10%	18.38%	10.55%	12.70%
Portfolio Magnum Experiment 40	-1.19%	-1.68%	6.05%	10.29%	17.87%	15.16%	13.54%	14.90%
Portfolio components:
VZ Verizon Communications Inc.	-2.19%	-7.70%	16.73%	19.30%	12.37%	12.62%	1.78%	4.19%
JNJ Johnson & Johnson	-1.18%	-1.48%	15.84%	26.49%	61.54%	16.65%	11.23%	11.10%
MCD McDonald's Corporation	-1.25%	-5.63%	0.58%	4.12%	0.92%	4.81%	8.15%	11.80%
LLY Eli Lilly and Company	-1.65%	-3.87%	-12.44%	13.07%	29.22%	38.18%	39.87%	31.00%
WMT Walmart Inc.	-1.83%	1.36%	14.02%	24.99%	37.82%	37.91%	23.78%	20.76%
PG The Procter & Gamble Company	-1.02%	-3.55%	2.01%	-1.66%	-10.64%	1.32%	3.84%	8.70%
PEP PepsiCo, Inc.	-0.27%	-1.13%	10.41%	6.62%	13.10%	-1.69%	5.17%	7.32%
VOO Vanguard S&P 500 ETF	-0.07%	2.30%	-0.09%	4.64%	28.85%	19.99%	12.14%	14.61%
LMT Lockheed Martin Corporation	-1.63%	-5.99%	27.56%	23.08%	32.76%	10.89%	12.71%	13.47%
COST Costco Wholesale Corporation	-3.25%	-0.48%	15.94%	7.66%	4.21%	27.76%	23.76%	22.92%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Monthly Returns

Based on dividend-adjusted daily data since Sep 10, 2010, Magnum Experiment 40's average daily return is +0.06%, while the average monthly return is +1.26%. At this rate, an investment would double in approximately 4.6 years.

Historically, 65% of months were positive and 35% were negative. The best month was Apr 2020 with a return of +10.6%, while the worst month was Feb 2020 at -8.3%. The longest winning streak lasted 7 consecutive months, and the longest losing streak was 5 months.

On a daily basis, Magnum Experiment 40 closed higher 56% of trading days. The best single day was Mar 13, 2020 with a return of +8.1%, while the worst single day was Mar 16, 2020 at -8.6%.

	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Total
2026	7.18%	3.98%	-5.09%	0.26%									6.05%
2025	2.85%	4.43%	-3.68%	-0.39%	-0.07%	-1.00%	-1.28%	4.60%	1.54%	0.09%	4.77%	-0.57%	11.46%
2024	4.47%	3.43%	2.26%	-2.49%	3.38%	1.59%	2.31%	6.22%	0.29%	-3.52%	3.05%	-5.65%	15.70%
2023	0.73%	-2.75%	4.38%	3.63%	-2.49%	5.47%	0.78%	1.64%	-4.48%	1.11%	5.60%	2.26%	16.41%
2022	-2.71%	-0.58%	5.02%	-2.66%	-1.12%	-2.46%	3.56%	-4.48%	-5.74%	8.92%	5.40%	-2.46%	-0.43%
2021	-1.05%	-1.31%	4.39%	2.76%	2.15%	1.77%	3.85%	1.96%	-3.92%	5.62%	-1.18%	7.01%	23.73%

Benchmark Metrics

Magnum Experiment 40 has an annualized alpha of 6.91%, beta of 0.66, and R² of 0.73 versus S&P 500 Index. Calculated based on daily prices since September 10, 2010.

This portfolio participates in less of S&P 500 Index's moves in both directions, but captures a larger share of gains (80.61%) than losses (54.01%) — typical of diversified or defensive assets.
This portfolio generated an annualized alpha of 6.91% versus S&P 500 Index — delivering returns beyond what market exposure alone would predict.
Beta of 0.66 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: 6.91%

Beta: 0.66

R²: 0.73

Upside Capture: 80.61%

Downside Capture: 54.01%

Expense Ratio

Magnum Experiment 40 has an expense ratio of 0.01%, 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.

QQQ

Invesco QQQ ETF

VOO

Vanguard S&P 500 ETF

Return for Risk

Risk / Return Rank

Magnum Experiment 40 ranks 26 for risk / return — below 26% of portfolios on our site. The returns aren't fully compensating for the risk involved. This isn't necessarily a dealbreaker, but factor it into your decision — especially if you're risk-averse.

Overall Rank

Sharpe Ratio Rank

Sortino Ratio Rank

Omega Ratio Rank

Calmar Ratio Rank

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

	Portfolio	Benchmark	Difference
Sharpe ratio Return per unit of total volatility	1.84	2.23	-0.40
Sortino ratio Return per unit of downside risk	2.73	3.12	-0.39
Omega ratio Gain probability vs. loss probability	1.32	1.42	-0.10
Calmar ratio Return relative to maximum drawdown	3.63	4.05	-0.41
Martin ratio Return relative to average drawdown	12.60	17.91	-5.31
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

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

	Risk / Return Rank	Sharpe ratio	Sortino ratio	Omega ratio	Calmar ratio	Martin ratio
VZ Verizon Communications Inc.	52	0.66	1.21	1.15	1.38	3.25
JNJ Johnson & Johnson	96	3.93	5.53	1.71	8.78	30.38
MCD McDonald's Corporation	34	0.12	0.30	1.03	0.41	0.91
LLY Eli Lilly and Company	51	0.76	1.26	1.18	1.00	2.43
WMT Walmart Inc.	81	1.88	2.75	1.34	5.16	14.19
PG The Procter & Gamble Company	17	-0.49	-0.58	0.93	-0.33	-0.62
PEP PepsiCo, Inc.	49	0.61	1.09	1.12	1.32	2.60
VOO Vanguard S&P 500 ETF	67	2.37	3.29	1.44	4.31	19.24
LMT Lockheed Martin Corporation	68	1.39	1.83	1.26	2.71	6.86
COST Costco Wholesale Corporation	37	0.22	0.45	1.05	0.54	1.08

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.

Magnum Experiment 40 Sharpe ratios as of Apr 11, 2026 (values are recalculated daily):

1-Year: 1.84
5-Year: 1.13
10-Year: 1.08
All Time: 1.18

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 places it in the bottom 25%. This suggests weaker risk-adjusted returns than most portfolios, possibly due to lower returns, higher volatility, or both. It may be worth reviewing the allocation. You can use the Portfolio Optimization tool to explore options for improving the Sharpe ratio.

The chart below shows the rolling Sharpe ratio of Magnum Experiment 40 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

Magnum Experiment 40 provided a 2.24% dividend yield over the last twelve months.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
Portfolio	2.24%	2.33%	2.28%	2.40%	2.18%	1.92%	2.18%	2.07%	2.29%	2.39%	2.47%	2.66%
Portfolio components:
VZ Verizon Communications Inc.	6.01%	6.68%	6.68%	6.96%	6.53%	4.85%	4.21%	3.95%	4.22%	4.39%	4.26%	4.79%
JNJ Johnson & Johnson	2.18%	2.48%	3.40%	3.00%	2.52%	2.45%	2.53%	2.57%	2.74%	2.38%	2.73%	2.87%
MCD McDonald's Corporation	2.38%	2.35%	2.34%	2.10%	2.15%	1.96%	2.35%	2.39%	2.36%	2.23%	2.97%	2.91%
LLY Eli Lilly and Company	0.66%	0.56%	0.67%	0.78%	1.07%	1.23%	1.75%	1.96%	1.94%	2.46%	2.77%	2.37%
WMT Walmart Inc.	0.75%	0.84%	0.92%	1.45%	1.58%	1.52%	1.50%	1.78%	2.23%	2.07%	2.89%	3.20%
PG The Procter & Gamble Company	2.91%	2.91%	2.36%	2.55%	2.38%	2.08%	2.24%	2.37%	3.09%	2.98%	3.18%	3.31%
PEP PepsiCo, Inc.	3.62%	3.92%	3.51%	2.91%	2.50%	2.45%	2.71%	2.77%	3.25%	2.64%	2.83%	2.76%
VOO Vanguard S&P 500 ETF	1.14%	1.13%	1.24%	1.46%	1.69%	1.25%	1.54%	1.88%	2.06%	1.78%	2.02%	2.10%
LMT Lockheed Martin Corporation	2.20%	2.76%	2.62%	2.68%	2.34%	2.98%	2.76%	2.31%	3.13%	2.32%	2.71%	2.83%
COST Costco Wholesale Corporation	0.52%	0.59%	0.49%	2.87%	0.76%	0.54%	3.38%	0.86%	1.08%	4.81%	1.09%	4.06%

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 Magnum Experiment 40. 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 Magnum Experiment 40 was 23.67%, occurring on Mar 23, 2020. Recovery took 81 trading sessions.

The current Magnum Experiment 40 drawdown is 4.84%.

Depth	Start	To Bottom	Bottom	To Recover	End	Total
-23.67%	Feb 7, 2020	31	Mar 23, 2020	81	Jul 17, 2020	112
-15.24%	Apr 11, 2022	120	Sep 30, 2022	133	Apr 13, 2023	253
-12.91%	Dec 3, 2018	15	Dec 24, 2018	44	Feb 28, 2019	59
-12.64%	Jul 8, 2011	24	Aug 10, 2011	92	Dec 20, 2011	116
-11.85%	Oct 21, 2024	116	Apr 8, 2025	121	Oct 1, 2025	237

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 15 assets, with an effective number of assets of 13.80, reflecting the diversification based on asset allocation. This number of effective assets suggests that the portfolio's investments are spread across a variety of assets, indicating a well-diversified allocation. However, true diversification also depends on the correlations between assets.

Asset Correlations Table

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

	Benchmark	NVO	VZ	LMT	LLY	WMT	MCD	UNP	COST	PG	PEP	TMO	JNJ	QQQ	BRK-B	VOO	Portfolio
Benchmark	1.00	0.40	0.36	0.42	0.43	0.40	0.46	0.61	0.53	0.42	0.44	0.62	0.45	0.90	0.69	1.00	0.78
NVO	0.40	1.00	0.19	0.20	0.39	0.21	0.23	0.23	0.24	0.24	0.24	0.38	0.30	0.37	0.26	0.40	0.50
VZ	0.36	0.19	1.00	0.28	0.26	0.31	0.32	0.31	0.28	0.42	0.41	0.27	0.41	0.23	0.41	0.36	0.58
LMT	0.42	0.20	0.28	1.00	0.26	0.28	0.33	0.38	0.29	0.32	0.36	0.31	0.36	0.31	0.42	0.42	0.54
LLY	0.43	0.39	0.26	0.26	1.00	0.27	0.25	0.25	0.30	0.33	0.30	0.37	0.45	0.36	0.34	0.43	0.60
WMT	0.40	0.21	0.31	0.28	0.27	1.00	0.35	0.28	0.56	0.43	0.40	0.28	0.35	0.33	0.37	0.40	0.58
MCD	0.46	0.23	0.32	0.33	0.25	0.35	1.00	0.36	0.36	0.41	0.43	0.34	0.39	0.38	0.42	0.46	0.58
UNP	0.61	0.23	0.31	0.38	0.25	0.28	0.36	1.00	0.33	0.34	0.33	0.42	0.38	0.47	0.57	0.61	0.57
COST	0.53	0.24	0.28	0.29	0.30	0.56	0.36	0.33	1.00	0.39	0.40	0.38	0.33	0.50	0.41	0.53	0.62
PG	0.42	0.24	0.42	0.32	0.33	0.43	0.41	0.34	0.39	1.00	0.61	0.34	0.49	0.30	0.42	0.42	0.65
PEP	0.44	0.24	0.41	0.36	0.30	0.40	0.43	0.33	0.40	0.61	1.00	0.35	0.49	0.33	0.41	0.44	0.65
TMO	0.62	0.38	0.27	0.31	0.37	0.28	0.34	0.42	0.38	0.34	0.35	1.00	0.42	0.57	0.45	0.62	0.63
JNJ	0.45	0.30	0.41	0.36	0.45	0.35	0.39	0.38	0.33	0.49	0.49	0.42	1.00	0.33	0.47	0.45	0.68
QQQ	0.90	0.37	0.23	0.31	0.36	0.33	0.38	0.47	0.50	0.30	0.33	0.57	0.33	1.00	0.51	0.90	0.63
BRK-B	0.69	0.26	0.41	0.42	0.34	0.37	0.42	0.57	0.41	0.42	0.41	0.45	0.47	0.51	1.00	0.69	0.68
VOO	1.00	0.40	0.36	0.42	0.43	0.40	0.46	0.61	0.53	0.42	0.44	0.62	0.45	0.90	0.69	1.00	0.78
Portfolio	0.78	0.50	0.58	0.54	0.60	0.58	0.58	0.57	0.62	0.65	0.65	0.63	0.68	0.63	0.68	0.78	1.00

The correlation results are calculated based on daily price changes starting from Sep 10, 2010

Magnum Experiment 40

Asset Allocation

Performance

Performance Chart

Returns By Period

Monthly Returns

Benchmark Metrics

Expense Ratio

Return for Risk

Risk / Return Rank

Return / Risk — by metrics

Sharpe ratio

Sortino ratio

Omega ratio

Calmar ratio

Martin ratio

Sharpe Ratio

Dividends

Dividend yield

Drawdowns

Drawdowns Chart

Worst Drawdowns

Volatility

Volatility Chart

Diversification

Diversification Metrics

Number of Effective Assets

Asset Correlations Table