A globally diversified all equity portfolio with low costs and a growth oriented tilt
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
Balanced Investors
This setup fits someone with a medium-to-high risk tolerance, comfortable with large short-term swings in pursuit of strong long-term growth. Typical goals might include building retirement wealth, achieving financial independence, or growing capital for far‑off life plans over 10 years or more. They accept that a drop of 30% or more is possible and do not plan to touch the money during such periods. They value simplicity, broad diversification, and low ongoing effort instead of active trading or market timing. Regular contributions, patience through downturns, and a focus on total return rather than income are key parts of this investor’s mindset.
Positions
-
Vanguard FTSE All-World UCITS ETF USD Accumulation
VWCE - IE00BK5BQT80 85.00% -
Vanguard FTSE Developed Europe UCITS ETF EUR Accumulation
VWCG - IE00BK5BQX27 15.00%
This portfolio is very straightforward: two broad ETFs with roughly 85% in a global fund and 15% in a Europe fund. That creates a simple, rules-based structure that closely mirrors widely used global benchmarks, just with an extra tilt toward Europe. Keeping things this simple is powerful, because the main drivers of results become market performance and saving rate, not constant tweaking. The overall setup is well-balanced and aligns closely with global standards. If the extra Europe tilt is intentional, it can stay as is; if not, gradually moving closer to the pure global fund weight could simplify things even further.
Growth
Using a hypothetical starting amount of 10,000 euros, a 13.15% CAGR (Compound Annual Growth Rate) would have grown to about 34,700 euros over ten years, assuming steady compounding. CAGR is basically the “average speed” of growth per year over a journey. The max drawdown of about -34% shows that at one point, the portfolio temporarily fell from peak to trough by roughly a third, which is normal for all‑equity setups. This history lines up with global stock markets, which is a good sign. Still, past returns only show how it behaved before; they do not guarantee anything about the future.
Projection
The Monte Carlo analysis runs 1,000 different “what if” paths, shuffling returns based on historical patterns to see a range of possible futures. Here, the median outcome of roughly +400% suggests that, in a typical scenario, capital could multiply several times over a long period. The 5th percentile at about +67% shows that even many weaker simulated paths still ended positive, which matches the broadly diversified stock exposure. Remember though, simulations reuse historical volatility and returns, which may not repeat. They are best seen as a rough weather forecast, not a promise. Periodically checking whether your risk level still feels right is more useful than focusing on exact projected numbers.
Asset classes
- Stocks 100%
- Other 0%
- No data 0%
- Cash 0%
The portfolio is 100% in stocks, with no bonds or cash counted as meaningful allocations. That lines up with a growth focus and explains why the risk profile is “Balanced but equity heavy.” A single asset class keeps things simple but also means that when global stock markets fall, there is no built‑in cushioning from other assets. For many investors, mixing in a small slice of more defensive assets can smooth the ride, especially near big life goals. As long as the time horizon is long and volatility is acceptable, this all‑equity structure can stay in place, but it’s worth revisiting as circumstances change.
Sectors
- Technology 25%
- Financials 19%
- Industrials 12%
- Consumer Discretionary 10%
- Health Care 10%
- Telecommunications 8%
- Consumer Staples 6%
- Basic Materials 4%
- Energy 4%
- Utilities 3%
- Real Estate 2%
Sector allocation is nicely spread: technology around a quarter, financials close to a fifth, then meaningful chunks in industrials, consumer areas, and healthcare, with smaller weights in energy, utilities, real estate, and materials. This spread matches benchmark data very closely, which is a strong indicator of diversification. A tech tilt can boost long‑term growth but may hit harder during periods of rising interest rates or regulatory pressure. Because these weights come from broad indices rather than stock picking, adjustments usually only make sense if your personal comfort with tech‑led swings changes, not because of short‑term news. The overall balance here is solid and globally typical.
Regions
- North America 55%
- Europe Developed 27%
- Asia Emerging 5%
- Japan 5%
- Asia Developed 4%
- Australasia 1%
- Africa/Middle East 1%
- Latin America 1%
- Europe Emerging 0%
Geographically, about 55% is in North America, 27% in developed Europe, and the rest spread across Japan, other developed Asia, and emerging regions. This is pretty close to global market weights but with an extra push toward Europe, which fits well for someone based in Germany seeking some home‑region familiarity. This allocation is well-balanced and aligns closely with global standards. The smaller but present exposure to emerging markets and other regions adds growth potential and diversification. If home bias toward Europe feels too strong over time, shifting new contributions more into the global fund can gradually pull the mix closer to world market weights without drastic moves.
Market capitalization
- Mega-cap 48%
- Large-cap 34%
- Mid-cap 16%
- Small-cap 0%
- Micro-cap 0%
The portfolio is dominated by mega and large companies (about 82% combined), with a modest 16% in medium size and almost nothing in small or micro caps. Large companies usually bring more stability, better information flow, and high liquidity, which helps in rough markets. The lighter exposure to small caps reduces some volatility but also means less exposure to that segment’s long‑term growth premium. This pattern closely mirrors most global benchmarks, so you are not taking an unusual position here. Anyone wanting a bit more “engine” from smaller companies could add a small-cap tilt one day, but the current mix is very standard and sensible for a core holding.
Ongoing product costs
- Vanguard FTSE All-World UCITS ETF USD Accumulation 0.19%
- Vanguard FTSE Developed Europe UCITS ETF EUR Accumulation 0.10%
- Weighted costs total (per year) 0.18%
Total ongoing costs around 0.18% per year are impressively low and compare very favorably to active funds or more complex products. Over decades, even a 0.5–1.0% difference in annual costs can mean tens of thousands of euros more or less in the final pot, so keeping fees under control is a big win. This cost level strongly supports better long-term performance because more of the market’s return actually stays in the portfolio. There is no clear need to hunt for slightly cheaper alternatives; the potential gain would be marginal versus the simplicity and reliability you already have with these broad, well‑run index funds.
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.
On a classic Efficient Frontier chart (risk on one axis, return on the other), this portfolio would sit as a high‑risk, high‑return point within the all‑equity area. The Efficient Frontier is just the line of portfolios that deliver the best possible return for each level of risk using the existing building blocks. Because the two ETFs are very similar and highly diversified, there is limited room to “optimize” by just changing their mix; the curve would be quite flat between them. Meaningful shifts in efficiency would mainly come from introducing a different kind of asset, not from tinkering heavily with the current split, which already offers a strong risk‑return ratio for growth.
What next?
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.
