60/40
Asset Allocation
Position | Category/Sector | Weight |
---|---|---|
TLT iShares 20+ Year Treasury Bond ETF | Government Bonds | 40% |
VTI Vanguard Total Stock Market ETF | Large Cap Growth Equities | 60% |
Performance
Performance Chart
The chart shows the growth of an initial investment of $10,000 in 60/40, 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 Quarterly
The earliest data available for this chart is Jul 26, 2002, corresponding to the inception date of TLT
Returns By Period
As of Aug 25, 2024, the 60/40 returned 11.43% Year-To-Date and 8.18% of annualized return in the last 10 years.
Year-To-Date | 1 month | 6 months | 1 year | 5 years (annualized) | 10 years (annualized) | |
---|---|---|---|---|---|---|
^GSPC S&P 500 | 17.76% | 2.89% | 10.80% | 27.49% | 14.28% | 10.89% |
60/40 | 11.15% | 3.95% | 9.56% | 19.44% | 7.23% | 8.12% |
Portfolio components: | ||||||
VTI Vanguard Total Stock Market ETF | 17.55% | 2.67% | 10.68% | 27.77% | 15.06% | 12.29% |
TLT iShares 20+ Year Treasury Bond ETF | 1.58% | 5.89% | 7.73% | 7.06% | -5.59% | 0.53% |
Monthly Returns
The table below presents the monthly returns of 60/40, with color gradation from worst to best to easily spot seasonal factors. Returns are adjusted for dividends.
Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2024 | -0.22% | 2.35% | 2.33% | -5.18% | 4.02% | 2.57% | 2.58% | 11.15% | |||||
2023 | 7.21% | -3.38% | 3.55% | 0.78% | -0.94% | 4.19% | 1.18% | -2.40% | -6.00% | -3.77% | 9.62% | 6.63% | 16.49% |
2022 | -5.20% | -2.14% | -0.27% | -9.25% | -1.06% | -5.48% | 6.55% | -4.05% | -8.85% | 2.48% | 5.90% | -4.67% | -24.29% |
2021 | -1.65% | -0.33% | 0.30% | 4.03% | 0.28% | 3.24% | 2.53% | 1.56% | -3.84% | 4.99% | 0.20% | 1.46% | 13.16% |
2020 | 3.02% | -1.93% | -4.80% | 8.35% | 2.71% | 1.51% | 5.23% | 2.34% | -2.00% | -2.52% | 7.82% | 2.48% | 23.50% |
2019 | 5.29% | 1.68% | 2.93% | 1.57% | -1.34% | 4.53% | 0.95% | 3.11% | -0.12% | 0.82% | 2.14% | 0.47% | 24.18% |
2018 | 1.83% | -3.49% | -0.12% | -0.56% | 2.44% | 0.68% | 1.42% | 2.61% | -0.98% | -5.62% | 1.92% | -2.99% | -3.20% |
2017 | 1.44% | 2.85% | -0.22% | 1.27% | 1.36% | 0.89% | 0.87% | 1.43% | 0.53% | 1.29% | 2.13% | 1.42% | 16.33% |
2016 | -1.17% | 1.32% | 3.94% | 0.10% | 1.36% | 2.93% | 3.23% | -0.27% | -0.48% | -3.06% | -0.47% | 1.13% | 8.66% |
2015 | 2.32% | 0.61% | -0.26% | -1.01% | -0.14% | -2.61% | 2.83% | -3.91% | -0.80% | 4.63% | 0.05% | -1.41% | -0.02% |
2014 | 0.60% | 3.04% | 0.62% | 0.87% | 2.44% | 1.46% | -0.93% | 4.38% | -2.10% | 2.78% | 2.68% | 1.27% | 18.31% |
2013 | 2.05% | 1.27% | 2.29% | 2.83% | -1.29% | -2.11% | 2.52% | -2.38% | 2.65% | 3.13% | 0.58% | 0.95% | 12.99% |
Expense Ratio
60/40 has an expense ratio of 0.08%, which is considered low compared to other funds. Below you can find the expense ratios of portfolio funds side-by-side and effortlessly compare their relative costs.
Risk-Adjusted Performance
Risk-Adjusted Performance Rank
The current rank of 60/40 is 24, indicating that it is in the bottom 24% of portfolios on our website in terms of risk-adjusted performance. This ranking is based on the combined values of the indicators listed below.
Risk-Adjusted Performance Indicators
This table presents a comparison of risk-adjusted performance metrics for positions. Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Sharpe ratio | Sortino ratio | Omega ratio | Calmar ratio | Martin ratio | |
---|---|---|---|---|---|
VTI Vanguard Total Stock Market ETF | 2.31 | 3.13 | 1.41 | 2.10 | 10.44 |
TLT iShares 20+ Year Treasury Bond ETF | 0.45 | 0.74 | 1.09 | 0.16 | 1.11 |
Dividends
Dividend yield
60/40 granted a 2.26% dividend yield in the last twelve months.
TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
---|---|---|---|---|---|---|---|---|---|---|---|---|
60/40 | 2.26% | 2.22% | 2.07% | 1.33% | 1.45% | 1.97% | 2.28% | 2.00% | 2.19% | 2.23% | 2.13% | 2.35% |
Portfolio components: | ||||||||||||
VTI Vanguard Total Stock Market ETF | 1.32% | 1.44% | 1.66% | 1.21% | 1.42% | 1.78% | 2.04% | 1.71% | 1.92% | 1.98% | 1.76% | 1.74% |
TLT iShares 20+ Year Treasury Bond ETF | 3.66% | 3.38% | 2.67% | 1.50% | 1.50% | 2.27% | 2.63% | 2.43% | 2.60% | 2.61% | 2.67% | 3.26% |
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.
Worst Drawdowns
The table below displays the maximum drawdowns of the 60/40. 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 60/40 was 30.25%, occurring on Mar 9, 2009. Recovery took 353 trading sessions.
The current 60/40 drawdown is 2.28%.
Depth | Start | To Bottom | Bottom | To Recover | End | Total |
---|---|---|---|---|---|---|
-30.25% | Oct 30, 2007 | 341 | Mar 9, 2009 | 353 | Aug 2, 2010 | 694 |
-28.39% | Nov 10, 2021 | 238 | Oct 20, 2022 | — | — | — |
-18.76% | Feb 21, 2020 | 19 | Mar 18, 2020 | 48 | May 27, 2020 | 67 |
-11.07% | Aug 30, 2018 | 80 | Dec 24, 2018 | 56 | Mar 18, 2019 | 136 |
-9.23% | Aug 23, 2002 | 33 | Oct 9, 2002 | 133 | Apr 22, 2003 | 166 |
Volatility
Volatility Chart
The current 60/40 volatility is 3.37%, representing the average percentage change in the investments's value, either up or down over the past month. The chart below shows the rolling one-month volatility.
Diversification
Asset Correlations Table
TLT | VTI | |
---|---|---|
TLT | 1.00 | -0.28 |
VTI | -0.28 | 1.00 |