Data Source: from January 1995 to December 2021

Last Update: 31 December 2021

The All Country World 40/60 Portfolio is exposed for 40% on the Stock Market.

It's a Medium Risk portfolio and it can be replicated with 4 ETFs.

In the last 10 years, the portfolio obtained a 7.02% compound annual return, with a 6.22% standard deviation.

In the last 25 years, a 6.49% compound annual return, with a 7.35% standard deviation.

Asset Allocation and ETFs

The All Country World 40/60 Portfolio has the following asset allocation:

40% Stocks
60% Fixed Income
0% Commodities

The All Country World 40/60 Portfolio can be replicated with the following ETFs:

Weight Ticker ETF Name Investment Themes
40.00 % VT Vanguard Total World Stock Equity, Global, Large Cap
30.00 % BND Vanguard Total Bond Market Bond, U.S., All-Term
21.00 % BNDX Vanguard Total International Bond Bond, Developed Markets, All-Term
9.00 % EMB iShares JP Morgan USD Em Mkts Bd Bond, Emerging Markets, All-Term
Most of Lazy Portfolios are made of common components (asset classes), very simple and well defined. For a more complete view, find out the most common ETFs you can use to build your portfolio.

Portfolio and ETF Returns

The All Country World 40/60 Portfolio guaranteed the following returns.

ALL COUNTRY WORLD 40/60 PORTFOLIO RETURNS (%)
Last Update: 31 December 2021
Swipe left to see all data
1M 3M 6M 1Y 3Y(*) 5Y(*) 10Y(*) 20Y(*) 25Y(*)
All Country World 40/60 Portfolio +1.61 +2.71 +2.00 +6.07 +10.89 +8.05 +7.02 +6.40 +6.49
--- Inflation Adjusted return +1.13 +0.49 -1.36 -0.98 +7.11 +4.98 +4.80 +4.00 +4.10
Components
VT
Vanguard Total World Stock
+3.81 +6.30 +4.89 +18.27 +20.48 +14.46 +12.06 +7.32 +6.55
BND
Vanguard Total Bond Market
-0.31 -0.04 -0.08 -1.86 +4.78 +3.54 +2.75 +4.09 +4.73
BNDX
Vanguard Total International Bond
-0.74 -0.14 -0.17 -2.28 +3.32 +3.03 +3.80 +4.96 +5.22
EMB
iShares JP Morgan USD Em Mkts Bd
+2.16 +0.40 -0.82 -2.24 +5.98 +4.41 +4.59 +7.91 +9.09
(*) annualized
Portfolio returns are calculated assuming:
  • a rebalancing of the components at the beginning of each year (i.e. at every January 1st)
  • the reinvestment of dividends

Inflation is updated to Dec 2021. Current inflation (annualized) is 1Y: 7.12% , 3Y: 3.53% , 5Y: 2.92% , 10Y: 2.12% , 20Y: 2.31% , 25Y: 2.29%

In 2021, the portfolio granted a 2.55% dividend yield. If you are interested in getting periodic income, please refer to the All Country World 40/60 Portfolio: Dividend Yield page.

Historical Returns

Historical returns and stats of All Country World 40/60 Portfolio. Total Returns and Inflation Adjusted Returns are both mentioned.

ALL COUNTRY WORLD 40/60 PORTFOLIO
Last Update: 31 December 2021
Swipe left to see all data
Period Return
Dec 2021
update
Return
Inflation
Adjusted
Standard
Deviation(*)
Max
Drawdown
Months
Pos - Neg
1M
Dec 2021
+1.61%
+1.13%
0.00%
1 - 0
3M
+2.71%
+0.49%
-1.05%
Nov 2021 - Nov 2021
2 - 1
6M
+2.00%
-1.36%
-2.52%
Sep 2021 - Sep 2021
4 - 2
YTD
+6.07%
-0.98%
4.53%
-2.52%
Sep 2021 - Sep 2021
8 - 4
67% pos
1Y
+6.07%
-0.98%
4.53%
-2.52%
Sep 2021 - Sep 2021
8 - 4
67% pos
3Y
+10.89%
annualized
+7.11%
annualized
8.15%
-10.07%
Feb 2020 - Mar 2020
27 - 9
75% pos
5Y
+8.05%
annualized
+4.98%
annualized
6.97%
-10.07%
Feb 2020 - Mar 2020
44 - 16
73% pos
10Y
+7.02%
annualized
+4.80%
annualized
6.22%
-10.07%
Feb 2020 - Mar 2020
85 - 35
71% pos
20Y
+6.40%
annualized
+4.00%
annualized
7.23%
-25.16%
Nov 2007 - Feb 2009
161 - 79
67% pos
25Y
+6.49%
annualized
+4.10%
annualized
7.35%
-25.16%
Nov 2007 - Feb 2009
200 - 100
67% pos
MAX
01 Jan 1995
+7.05%
annualized
+4.60%
annualized
7.19%
-25.16%
Nov 2007 - Feb 2009
219 - 105
68% pos
(*)Annualized St.Dev. of monthly returns

Portfolio efficiency

Is the All Country World 40/60 Portfolio actually efficient, compared to other Lazy Portfolios?

Best Classic Portfolios, with Medium Risk, ordered by 25 Years annualized return.

25 Years Stats
% Allocation
Portfolio Return Drawdown Stocks Bonds Comm.
Couch Potato
Scott Burns
+8.33% -27.03% 50 50 0 Compare
All Weather Portfolio
Ray Dalio
+7.89% -12.19% 30 55 15 Compare
Robo Advisor 50
Betterment
+7.63% -30.72% 49.9 50.1 0 Compare
Simplified Permanent Portfolio
+7.48% -13.28% 25 50 25 Compare
Stocks/Bonds 40/60
+7.24% -19.17% 40 60 0 Compare

See all portfolios

Our overall ratings, assigned to the All Country World 40/60 Portfolio. The portfolio is classified as Medium Risk.

Very High Risk
Bond weight:
Less than 25%
High Risk
Bond weight:
25% - 49.99%
Medium Risk
Bond weight:
50% - 74.99%
Low Risk
Bond weight:
At least 75%
Medium Risk
Portfolios
All
Portfolios
25 Years Ann. Return
(Inflation Adjusted)
+6.49%
(+4.10%)
Bad : 1.8 / 5
Average : 2.6 / 5
Standard Deviation
over 25 Years
7.35%
Average : 2.3 / 5
Good : 4 / 5
Maximum Drawdown
over 25 Years
-25.16%
Average : 2.3 / 5
Good : 3.5 / 5
Easy to manage 4 ETFs
Good : 3.5 / 5
Good : 3.5 / 5
Rating assigned considering all the Medium Risk Portfolios Rating assigned considering all the Portfolios in the database

Capital Growth

Time Range:

An investment of 1000$, since January 1997, now would be worth 4813.33$, with a total return of 381.33% (6.49% annualized).

The Inflation Adjusted Capital now would be 2733.13$, with a net total return of 173.31% (4.10% annualized).

Drawdowns

Time Range:

Worst drawdowns since January 1997 - Chart and Data

Swipe left to see all data
Drawdown period
Recovery period
Total
Drawdown Start Bottom #Months End #Months #Months
-25.16% Nov 2007 Feb 2009 16 Mar 2010 13 29
-10.07% Feb 2020 Mar 2020 2 Jul 2020 4 6
-9.09% Feb 2001 Sep 2002 20 May 2003 8 28
-7.33% May 1998 Aug 1998 4 Oct 1998 2 6
-6.92% May 2011 Sep 2011 5 Jan 2012 4 9
-5.40% Feb 2018 Dec 2018 11 Mar 2019 3 14
-5.18% May 2015 Sep 2015 5 Jun 2016 9 14
-4.01% May 2013 Jun 2013 2 Oct 2013 4 6
-3.78% Sep 2000 Nov 2000 3 Jan 2001 2 5
-3.62% May 2010 Jun 2010 2 Jul 2010 1 3
-3.61% May 2012 May 2012 1 Jul 2012 2 3
-3.35% Aug 1997 Aug 1997 1 Feb 1998 6 7
-3.27% Apr 2000 May 2000 2 Aug 2000 3 5
-2.66% May 1999 May 1999 1 Oct 1999 5 6
-2.61% Apr 2004 May 2004 2 Sep 2004 4 6
-2.54% Jan 2000 Jan 2000 1 Mar 2000 2 3
-2.52% Sep 2021 Sep 2021 1 Dec 2021 3 4
-2.44% Oct 2016 Nov 2016 2 Feb 2017 3 5
-2.13% Sep 2020 Oct 2020 2 Nov 2020 1 3
-2.01% May 2006 Jun 2006 2 Aug 2006 2 4

Rolling Returns ( more details)

All Country World 40/60 Portfolio: annualized rolling and average returns

Swipe left to see all data
Return (*) Negative
Periods
Rolling Period Average Best Worst
1 Year
+7.16% +31.03%
Mar 2009 - Feb 2010
-22.54%
Mar 2008 - Feb 2009
14.70%
2 Years
+6.74% +21.25%
Mar 2009 - Feb 2011
-10.01%
Mar 2007 - Feb 2009
8.64%
3 Years
+6.54% +15.55%
Mar 2009 - Feb 2012
-4.15%
Mar 2006 - Feb 2009
3.46%
5 Years
+6.29% +12.45%
Jan 1995 - Dec 1999
+0.40%
Mar 2004 - Feb 2009
0.00%
7 Years
+6.15% +9.00%
Mar 2009 - Feb 2016
+2.60%
Mar 2002 - Feb 2009
0.00%
10 Years
+6.24% +8.53%
Jan 1995 - Dec 2004
+3.15%
Mar 1999 - Feb 2009
0.00%
15 Years
+6.16% +7.26%
Apr 1995 - Mar 2010
+5.20%
Feb 2001 - Jan 2016
0.00%
20 Years
+6.15% +7.33%
Mar 1995 - Feb 2015
+4.98%
Apr 2000 - Mar 2020
0.00%

* Annualized rolling and average returns over full calendar month periods

If you need a deeper detail about rolling returns, please refer to the All Country World 40/60 Portfolio: Rolling Returns page.

Seasonality

All Country World 40/60 Portfolio Seasonality: in which months is it better to invest?

In the table below, the average monthly return is represented.

Below each return, it's also mentioned the probability of obtaining a positive monthly result (Win %).

Both the Average Return and the Gain Frequency are useful to get an idea of what happened in the past.

Swipe left to see all data
Monthly Average Return (%) and Gain Frequency
Return (%) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Average
Win %
0.19
59%
0.30
74%
0.50
70%
1.43
81%
0.25
56%
0.37
59%
0.85
67%
0.06
63%
0.27
63%
0.59
67%
1.03
74%
1.25
78%
Best
Year
4.2
2019
3.3
1998
4.1
2009
5.7
2009
5.0
2009
3.6
2019
5.5
2009
2.1
2009
3.8
2010
4.6
1998
5.6
2020
5.7
2008
Worst
Year
-5.3
2009
-4.4
2009
-8.0
2020
-2.6
2004
-3.6
2012
-3.6
2008
-3.4
2002
-7.2
1998
-6.4
2008
-10.2
2008
-1.9
2010
-1.9
2018
Statistics calculated for the period Jan 1995 - Dec 2021

For further information about the seasonality, check the Asset Class Seasonality page.

Monthly/Yearly Returns

All Country World 40/60 Portfolio monthly and yearly returns: how is the distribution of the returns recorded so far?

MONTHLY RETURNS HISTOGRAM
219 Positive Months (68%) - 105 Negative Months (32%)
Jan 1995 - Dec 2021
Swipe left to see all data
Yearly Return(%)
Monthly Return(%)
Year Total Infl.Adj Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2021
+6.07 -0.98 -0.6 0.0 0.7 2.2 0.8 0.9 0.9 0.9 -2.5 2.2 -1.1 1.6
2020
+10.42 +9.01 0.5 -2.3 -8.0 5.3 2.7 1.7 3.0 1.9 -1.2 -0.9 5.6 2.3
2019
+16.42 +13.85 4.2 1.2 1.5 1.5 -1.7 3.6 0.4 0.5 0.6 1.2 0.9 1.7
2018
-3.84 -5.65 1.6 -2.3 0.0 -0.3 0.3 -0.3 1.4 0.4 0.0 -3.7 0.9 -1.9
2017
+12.29 +9.98 1.2 1.6 0.6 1.2 1.2 0.1 1.4 0.8 0.7 1.0 0.8 1.0
2016
+5.97 +3.84 -1.7 0.3 3.8 0.6 0.4 1.3 2.1 0.2 0.4 -1.5 -1.0 1.1
2015
-0.23 -0.87 0.6 2.0 -0.2 0.8 -0.1 -1.7 0.7 -3.0 -1.1 3.1 -0.1 -1.1
2014
+5.59 +4.91 -1.1 2.6 0.3 0.8 1.6 1.0 -0.7 1.8 -1.7 0.9 0.9 -0.8
2013
+7.68 +6.07 1.1 0.2 1.0 1.9 -1.7 -2.4 2.4 -1.6 3.1 2.2 0.5 0.8
2012
+11.32 +9.40 2.8 2.2 0.4 0.2 -3.6 2.5 1.4 1.3 1.8 -0.2 1.0 1.2
2011
+1.87 -1.16 0.6 1.4 0.1 2.6 -0.3 -0.7 0.2 -2.2 -4.1 4.6 -0.7 0.8
2010
+9.86 +8.30 -1.3 1.1 2.9 0.5 -3.6 0.0 4.1 -0.2 3.8 1.8 -1.9 2.5
2009
+18.75 +15.50 -5.3 -4.4 4.1 5.7 5.0 -0.1 5.5 2.1 3.4 -0.9 2.9 0.3
2008
-16.04 -16.02 -2.3 0.3 -0.8 1.8 -0.1 -3.6 -0.7 -0.4 -6.4 -10.2 0.2 5.7
2007
+7.49 +3.24 0.2 0.6 0.8 2.0 0.6 -0.5 -0.2 0.3 2.8 2.2 -1.2 -0.2
2006
+10.29 +7.58 2.0 0.2 0.2 1.2 -2.0 0.0 1.1 1.9 0.8 2.0 1.8 0.7
2005
+6.35 +2.92 -0.5 1.1 -1.2 -0.1 1.4 0.8 1.0 1.0 0.9 -1.7 1.8 1.7
2004
+8.97 +5.45 1.1 1.2 0.3 -2.6 0.0 1.1 -0.7 1.5 1.0 1.5 2.1 2.2
2003
+17.60 +15.25 -0.8 0.4 0.0 4.3 3.5 0.5 -0.9 1.4 1.7 2.1 0.9 3.5
2002
-2.62 -4.98 -0.6 0.4 1.0 -0.4 0.1 -2.8 -3.4 1.5 -3.4 2.9 2.3 -0.1
2001
+0.44 -1.15 2.3 -3.0 -2.0 2.3 0.0 -0.8 0.8 -0.6 -3.1 2.4 1.9 0.3
2000
+0.63 -2.71 -2.5 1.2 3.5 -2.1 -1.2 2.6 -0.5 2.0 -1.7 -0.7 -1.4 1.8
1999
+12.23 +9.30 1.2 -1.7 2.7 2.8 -2.7 1.8 -0.4 -0.2 0.4 2.5 1.5 3.9
1998
+13.08 +11.29 1.4 3.3 1.7 0.9 -0.8 0.6 0.1 -7.2 3.3 4.6 2.6 2.5
1997
+8.51 +6.70 0.1 0.6 -1.7 1.6 3.7 3.0 2.6 -3.4 3.4 -2.8 0.5 0.9
1996
+9.74 +6.15 1.2 -1.0 0.5 1.2 0.1 0.9 -0.8 0.9 2.6 1.2 3.5 -0.9
1995
+19.00 +16.06 -0.1 0.9 1.6 2.9 3.0 0.2 2.1 0.0 1.9 0.0 2.7 2.5

* Note:
Portofolio Returns, up to December 2013, are simulated. They have been calculated using the historical series of equivalent ETFs / Assets, instead of the actual ETFs of the portfolio.

In particular, it has been used:

  • VT - Vanguard Total World Stock: simulated historical serie, up to December 2008
  • BND - Vanguard Total Bond Market: simulated historical serie, up to December 2007
  • BNDX - Vanguard Total International Bond: simulated historical serie, up to December 2013
  • EMB - iShares JP Morgan USD Em Mkts Bd: simulated historical serie, up to December 2007
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