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In the 2000 crash, VTSAX came back about a year before the S&P 500 did. source: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYe
by zie 6y ago
In the 2000 crash, VTSAX came back about a year before the S&P 500 did.
source: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=1985&firstMonth=1&endYear=2020&lastMonth=12&calendarAligned=true&includeYTD=false&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&showYield=false&reinvestDividends=true&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=VTSMX&allocation1_1=100&symbol2=VFINX&allocation2_2=100&symbol3=CASHX&symbol4=PSLDX https://www.portfoliovisualizer.com/backtest-portfolio?s=y&t...
see the drawdowns tab.
- MR4D 6y agoRight. But that’s not what I mean. Split the total market into 3 funds and see how much better it compares to your solution. (Drawdowns tab also) https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=1985&firstMonth=1&endYear=2020&lastMonth=12&calendarAligned=true&includeYTD=false&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&showYield=false&reinvestDividends=true&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=VTSMX&allocation1_1=100&symbol2=VFINX&allocation2_2=34&symbol3=VISGX&allocation3_2=33&symbol4=VMCIX&allocation4_2=33 https://www.portfoliovisualizer.com/backtest-portfolio?s=y&t...
- bsmith89 6y agoI think what you're seeing is the higher yield (+risk) of the small-cap fund. See this comparison to VISGX only: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=1985&firstMonth=1&endYear=2020&lastMonth=12&calendarAligned=true&includeYTD=false&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&showYield=false&reinvestDividends=true&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=VTSMX&allocation1_1=100&symbol2=VFINX&allocation2_2=34&symbol3=VISGX&allocation3_2=33&allocation3_3=100&symbol4=VMCIX&allocation4_2=33 https://www.portfoliovisualizer.com/backtest-portfolio?s=y&t...
- zie 6y agoI agree with bsmith. SCV is riskier, and in theory provides better returns. You can minimize the risk a little by tilting a little, like Paul Merriman recommends. As long as we are performance chasing[0].. CAGR 27.22%! or Bitcoin before the pop, or any of the big FAANG's alone :) Obviously I'm not suggesting you actually buy and hold UPRO 100% AA. The problem is, we have no idea what the future holds, and can only guess. Buying the market(VTSAX/VTI) is the next best thing, you can't really do wrong, but you also won't "win" in the sense that you only get winners. Or VT if you want the global market. 0: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=4&startYear=1985&firstMonth=1&endYear=2020&lastMonth=12&calendarAligned=true&includeYTD=false&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&showYield=false&reinvestDividends=true&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=UPRO&allocation1_1=100 https://www.portfoliovisualizer.com/backtest-portfolio?s=y&t...