A cautious portfolio wearing a helmet but juggling gold bars and dividend stocks
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
Cautious Investors
This setup fits someone who says they’re risk-averse but secretly can’t let go of “but what if I make more?” There’s a cautious label on the door, yet the contents show a mild control freak who wants protection (gold), comfort (local dividend payers), and some global exposure to avoid feeling too provincial. Time horizon is probably long enough to handle volatility, but emotionally there’s a low tolerance for seeing big red numbers on the screen. This personality wants guardrails, simple building blocks, and a story that feels safe, even if the actual risk level is quietly higher than the label suggests.
Positions
-
Vanguard FTSE Canadian High Dividend Yield
VDY - CA92203Q1046 42.17% -
iShares Gold Bullion ETF (CAD-Hedged)
CGL - CA46432D2014 31.80% -
Vanguard FTSE Developed All Cap ex North Amer Idx ETF
VIU - CA92204G1054 22.13% -
Vanguard FTSE Canada All Cap
VCN - CA92205P1045 3.90%
This mix looks like it was built by someone who loves “income” brochures and then panic-bought gold on financial news day. Nearly half in Canadian high-dividend stocks, one-third in gold, and a small sprinkling of global equities is not the balanced feast the labels suggest. For a “cautious” profile, this is weirdly barbell-shaped: chunky equity risk on one side, shiny metal on the other, with barely any boring stabilizers in between. Think truck loaded in the back and empty in the front. Tighten this up by deciding what the core is (usually broad global stocks and safer assets) and letting everything else be spice, not the main course.
Growth
Historically, this thing has been on a heater: a 13.21% CAGR is “everything went right” territory. CAGR, or Compound Annual Growth Rate, is basically your average yearly speed over the whole trip, potholes included. A max drawdown of -26.43% means at some point you watched more than a quarter of your value vanish on paper – that’s not exactly sleepy and cautious. Also, 90% of gains coming from just 59 days screams “blink and you miss it.” Past data is yesterday’s weather: useful, not psychic. Treat this return history as a nice bonus, not a promise, and stress-test whether you’d stick around through another -25% slide.
Projection
The Monte Carlo results look like a feel-good movie: every one of 1,000 simulations ends up positive, and the median scenario more than quadruples the value. Monte Carlo just runs tons of “what-if” futures using past-style behavior; it’s like rerunning history with different dice rolls. But all models are basically fancy guesses that assume markets act roughly like they did before, which they absolutely don’t have to. The 5th percentile still ending positive is very optimistic. Treat those fat future numbers as “if the world stays mostly sane.” Build your plan around the ugly edge cases instead: job loss plus market drop plus inflation, not just the 50th-percentile fairy tale.
Asset classes
- Stocks 46%
- Other 32%
- US Equity 0%
Asset classes here are basically “stocks and vibes.” About 46% equity and 32% shoved into “Other,” which is mostly gold pretending to be safety. Missing is the classic boring shock absorber: high-quality bonds or cash-like stuff. Gold can help in crises, but it doesn’t pay income, and it can sulk for years while doing nothing. Calling this cautious because there’s less equity than a YOLO portfolio is like calling tequila “hydration” because it’s liquid. For a calmer ride, consider whether you actually want a proper defensive layer that behaves differently from stocks and doesn’t rely on metal mood swings to save the day.
Sectors
- Financials 30%
- Energy 13%
- Industrials 5%
- Basic Materials 4%
- Technology 3%
- Consumer Discretionary 3%
- Utilities 3%
- Telecommunications 2%
- Health Care 2%
- Consumer Staples 2%
- Real Estate 1%
Sector-wise, this is basically “Canada Inc. with extra banks” plus some modest global seasoning. Around 30% in Financial Services and 13% in Energy means the portfolio’s mood swings with interest rates and oil prices. That’s a classic Canadian problem: home-market bias disguised as diversification. The low slices in Tech, Healthcare, and Consumer sectors make the long-term growth engine feel undersized. It’s like building a band that’s mostly drummers and bass, with one half-time guitarist. Consider smoothing this out so no single sector smacks the whole portfolio around when it has a bad cycle, especially the rate-sensitive and commodity-heavy parts.
Regions
- North America 46%
- Europe Developed 12%
- Japan 5%
- Asia Developed 2%
- Australasia 2%
- Africa/Middle East 0%
- Latin America 0%
- Europe Emerging 0%
- Asia Emerging 0%
Geographically, this is “Canada first, world… if there’s room.” About 46% in North America, with a big Canada lean, then small bites of Europe, Japan, and developed Asia. Emerging markets are sitting at 0%, like they weren’t invited to the party. For a Canadian, home bias is normal, but this is pushing it: you’re tying your future to one economy, one currency, and one policy regime way more than global benchmarks do. The ex-North-America ETF is a surprisingly sensible bridge, but still underpowered. Building a steadier base means letting more of the global economy actually show up in meaningful size.
Market capitalization
- Mega-cap 41%
- Unknown 32%
- Large-cap 17%
- Mid-cap 8%
- Small-cap 2%
- Micro-cap 0%
Market cap tilt is heavily top-heavy: 41% mega caps, 17% big, then token amounts in medium and small. Plus 32% in “Unknown,” which is basically the gold chunk refusing to pick a team. This is the safety-in-giants play: established companies, slower blow-ups, but also less explosive growth. That fits a calmer style, but combined with the sector and country concentration, it turns into “a few big names and a bar of gold walk into a bar.” If you want smoother compounding, it can help to deliberately mix in more mid and small caps via broad funds, not just default to the usual mega-crowd.
Dividends
- Vanguard FTSE Canada All Cap 0.50%
- Vanguard FTSE Canadian High Dividend Yield 0.90%
- Vanguard FTSE Developed All Cap ex North Amer Idx ETF 0.20%
- Weighted yield (per year) 0.44%
For something leaning into “High Dividend Yield,” the total yield sitting at 0.44% is frankly underwhelming. That’s like ordering the “all-you-can-eat buffet” and getting three fries and a pickle. Either data timing is off, or the income story is weaker than the marketing suggests. Dividends are just companies sharing profit in cash; nice for stability, but not magic fairy dust. Chasing yield can backfire if it pushes you into slow-growth or structurally risky names. If income is the goal, the focus should be on sustainable payouts and total return (income plus growth), not just slapping “dividend” in the fund name and hoping the math cooperates.
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 versus return here is kind of confused. The label says “cautious,” but the behavior says “I hate bonds, give me banks and bullion.” Efficient Frontier is just the nerdy way of asking: “For this level of risk, could you get more return, or the same return with less drama?” With concentrated Canadian equity, huge gold, and only modest global diversification, this likely sits inside the efficient frontier, not on it. Translation: you’re probably taking more risk than needed for the payoff. Tweaking toward broader global exposure and adding some truly defensive assets could move you closer to a saner risk-return deal.
What next?
Ready to invest in this portfolio?
Select a broker that fits your needs and watch for low fees to maximize your returns.
Create your own report?
Join our community!
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.
