A growth focused global equity portfolio with strong diversification and a small tilt to value

Risk profile

  • Secure
    Speculative

The risk profile, derived from past market volatility, reflects the level of risk the portfolio is exposed to. This assessment helps align your investments with your financial goals and comfort with market fluctuations.

Diversification profile

  • Focused
    Diversified

The diversification assessment evaluates the spread of investments across asset classes, regions, and sectors. This ensures a balanced mix, reducing risk and maximizing returns by not concentrating in any single area.

What type of investor this portfolio is suitable for

Growth Investors

This setup suits an investor who is comfortable with meaningful ups and downs in pursuit of strong long‑term growth. A typical profile would be someone with a multi‑decade horizon, such as saving for retirement far in the future, and who can tolerate temporary drops of 30–40% without changing course. Goals might include maximizing wealth accumulation, keeping the portfolio simple, and staying globally diversified while still tilting toward smaller and cheaper companies. This person values low costs, broad diversification, and evidence‑based investing more than trying to time markets or pick individual winners, and is willing to accept high short‑term volatility as the price of higher expected returns.

Positions

  • Vanguard S&P 500 ETF
    VOO - US9229083632
    40.00%
  • Vanguard Total International Stock Index Fund ETF Shares
    VXUS - US9219097683
    40.00%
  • Avantis® U.S. Small Cap Value ETF
    AVUV - US0250728773
    20.00%

This portfolio is almost fully invested in stocks via three broad ETFs, with a 40/40/20 split across two large diversified funds and one more focused holding. Compared to many growth portfolios, this structure is pleasantly simple and closely aligned with common benchmark compositions. A stock weight near 100% naturally raises volatility, but it also maximizes long‑term growth potential. Keeping a tiny cash slice around 1% helps with liquidity but has little impact on returns. This setup is already well-structured; fine-tuning would mostly involve adjusting how aggressive the equity mix feels versus personal comfort with big market swings.

Growth Info

Historically, the portfolio delivered a compound annual growth rate (CAGR) of 14.68%. CAGR is like the average speed of a car on a long trip, smoothing out bumps along the way. A hypothetical 10,000 USD invested over ten years at that rate would have grown to roughly 39,000 USD before taxes and fees. At the same time, the maximum drawdown of about –36.7% shows that the ride can be rough, similar to broad equity benchmarks during big selloffs. This combination of high growth and deep temporary losses is typical for stock‑heavy growth portfolios and fits the stated risk profile well.

Projection Info

The Monte Carlo simulation used 1,000 alternative future paths based on historical return patterns, producing end values from very weak to very strong markets. Monte Carlo is basically a stress test that rolls the dice many times, using past volatility and returns to create possible futures. The 5th percentile outcome of about 46.7% growth shows a tough scenario, while the median of around 510.7% and higher percentiles suggest strong upside. The average simulated annual return of 16.16% looks attractive but should be viewed cautiously because it depends on history repeating. These numbers are useful ranges, not promises, and real markets can behave differently.

Asset classes Info

  • Stocks
    99%
  • Cash
    1%
  • Other
    0%
  • No data
    0%

The allocation is 99% stocks and about 1% cash, with no meaningful exposure to bonds or alternative assets. This aligns with a clear growth orientation and mirrors aggressive benchmark allocations aimed at long‑term wealth building rather than short‑term stability. A stock-only structure means returns will closely track equity markets, which is efficient but leaves little cushion during downturns. For someone with decades ahead, this can be appropriate and powerful. For shorter horizons or lower risk tolerance, gradually mixing in stabilizing assets could reduce volatility, even though it might slightly lower expected returns. The current mix is very intentional and clearly growth-first.

Sectors Info

  • Technology
    22%
  • Financials
    19%
  • Consumer Discretionary
    12%
  • Industrials
    12%
  • Health Care
    7%
  • Telecommunications
    7%
  • Energy
    6%
  • Consumer Staples
    5%
  • Basic Materials
    4%
  • Utilities
    2%
  • Real Estate
    2%

Sector exposure is well spread across 11 major sectors, with notable weights in technology, financials, consumer cyclicals, and industrials. This pattern is very similar to widely used global equity benchmarks, which is a strong indicator of healthy diversification. A moderate tilt to technology can boost long‑term growth but may cause sharper moves when interest rates change or when growth stocks fall out of favor. Exposure to energy, healthcare, and defensive areas helps balance that by behaving differently in various economic environments. This sector composition is well-balanced and aligns closely with global standards, minimizing the risk that a single industry dominates portfolio behavior.

Regions Info

  • North America
    63%
  • Europe Developed
    15%
  • Asia Emerging
    7%
  • Japan
    6%
  • Asia Developed
    5%
  • Australasia
    2%
  • Africa/Middle East
    1%
  • Latin America
    1%
  • Europe Emerging
    0%

Geographically, about 63% sits in North America, with the rest spread across Europe, developed Asia, Japan, emerging Asia, and smaller regions. This matches many global benchmarks that naturally lean toward the U.S. because of its large market size. The strong international slice improves diversification, reducing dependence on a single country’s economy, currency, or politics. Emerging markets remain a smaller piece, which keeps volatility from these regions contained while still participating in their growth potential. This blend creates a sensible home bias for a U.S. investor but still ensures meaningful global exposure, which is helpful if leadership rotates away from U.S. markets in future decades.

Market capitalization Info

  • Mega-cap
    37%
  • Large-cap
    26%
  • Mid-cap
    14%
  • Small-cap
    11%
  • Micro-cap
    11%

The mix across company sizes is broad: sizeable allocations to mega and large companies, with meaningful exposure to mid, small, and micro caps. The 20% position in a U.S. small cap value fund boosts the share of smaller, cheaper companies compared with standard benchmarks. Smaller firms and value stocks often move more sharply in the short term but have historically offered higher expected returns over very long horizons. This creates a deliberate tilt: more volatility now in exchange for potential extra growth later. It also diversifies away from an exclusive focus on mega-cap names that dominate many indices, which can be helpful if those giants lag.

Dividends Info

  • Avantis® U.S. Small Cap Value ETF 1.60%
  • Vanguard S&P 500 ETF 1.10%
  • Vanguard Total International Stock Index Fund ETF Shares 2.70%
  • Weighted yield (per year) 1.84%

The overall dividend yield of about 1.84% comes from a blend of roughly 1.1% from the U.S. large‑cap fund, 2.7% from international stocks, and 1.6% from small cap value. While this yield is modest, it meaningfully contributes to total return, especially when reinvested automatically. Dividends can act like a slow, steady drip of extra shares over time, which compounds growth. For a growth‑oriented equity portfolio, the priority is capital appreciation, so a moderate yield like this is perfectly normal and well aligned. Income‑focused investors might want a higher payout, but for long‑term accumulation, the current balance is sensible.

Ongoing product costs Info

  • Avantis® U.S. Small Cap Value ETF 0.25%
  • Vanguard S&P 500 ETF 0.03%
  • Vanguard Total International Stock Index Fund ETF Shares 0.05%
  • Weighted costs total (per year) 0.08%

The weighted average total expense ratio (TER) of about 0.08% is impressively low, especially given the additional small cap value exposure. TER is the ongoing annual fee the funds charge, taken quietly out of returns. Keeping this number small is one of the easiest ways to improve long‑term outcomes, because every fraction of a percent compounds over decades. Here, the two core index ETFs are extremely low-cost, and even the more specialized fund is still modestly priced. This cost structure supports better long‑term performance and aligns with best practices in modern portfolio design, leaving more of the market’s return in the investor’s pocket.

Risk vs. return

This chart shows the Efficient Frontier, calculated using your current assets with different allocation combinations. It highlights the best balance between risk and return based on historical data. "Efficient" portfolios maximize returns for a given risk or minimize risk for a given return. Portfolios below the curve are less efficient. This is informational and not a recommendation to buy or sell any assets.

Risk–return optimization using the Efficient Frontier suggests this portfolio is already close to an efficient balance for a growth profile, given its current building blocks. The Efficient Frontier is the set of portfolios that gives the best possible trade‑off between risk (volatility) and return using only the existing ingredients. Efficiency here does not mean the safest mix, but the highest expected return for each level of risk achievable with these three ETFs. Minor tweaks to the percentages could slightly adjust volatility or expected return, yet any big changes would mostly reflect a different risk appetite rather than a clear mathematical improvement.

What next?

Ready to invest in this portfolio?

Select a broker that fits your needs and watch for low fees to maximize your returns.

Select broker

Create your own report?

Analyze your portfolio

Join our community!

Join Discord

The information provided on this platform is for informational purposes only and should not be considered as financial or investment advice. Insightfolio does not provide investment advice, personalized recommendations, or guidance regarding the purchase, holding, or sale of financial assets. The tools and content are intended for educational purposes only and are not tailored to individual circumstances, financial needs, or objectives.

Insightfolio assumes no liability for the accuracy, completeness, or reliability of the information presented. Users are solely responsible for verifying the information and making independent decisions based on their own research and careful consideration. Use of the platform should not replace consultation with qualified financial professionals.

Investments involve risks. Users should be aware that the value of investments may fluctuate and that past performance is not an indicator of future results. Investment decisions should be based on personal financial goals, risk tolerance, and independent evaluation of relevant information.

Insightfolio does not endorse or guarantee the suitability of any particular financial product, security, or strategy. Any projections, forecasts, or hypothetical scenarios presented on the platform are for illustrative purposes only and are not guarantees of future outcomes.

By accessing the services, information, or content offered by Insightfolio, users acknowledge and agree to these terms of the disclaimer. If you do not agree to these terms, please do not use our platform.