Data Source: from January 2009 to July 2022
Consolidated Returns as of 31 July 2022

Managing the Gyroscopic Investing Desert Portfolio with Bitcoin with a yearly rebalancing, you would have obtained a 16.85% compound annual return in the last 10 Years.

With a quarterly rebalancing, over the same period, the return would have been 9.08%.

How do returns and drawdowns change, implementing different rebalancing strategies?

Rebalancing Strategies

In order to keep risk under control, you should rebalance assets quotes from time to time, so to keep them at the original percentage of the asset allocation.

Rebalancing can be performed in several ways.

At fixed time intervals:
  • Yearly: Jan 1st
  • Half Yearly: Jan 1st, Jul 1st
  • Quarterly: Jan 1st, Apr 1st, Jul 1st, Oct 1st
When a component (at least one) diverges from its original weight beyond a certain threshold (e.g. 5% or 10%).

Portfolio Returns as of Jul 31, 2022

Implementing different rebalancing strategies, the Gyroscopic Investing Desert Portfolio with Bitcoin guaranteed the following returns.

According to the available data source, let's assume we built the portfolio on January 2009.

Portfolio returns are calculated in USD, assuming:
  • No fees or capital gain taxes
  • the reinvestment of dividends, if existing
GYROSCOPIC INVESTING DESERT PORTFOLIO WITH BITCOIN RETURNS
Period: January 2009 - July 2022
Swipe left to see all data
 
Return (%) and number of rebalances as of Jul 31, 2022
Rebalancing Strategy 1Y 5Y(*) 10Y(*) (**)Since
Inception
Yearly Rebalancing -7.19 (1) 9.98 (5) 16.85 (10) 17.43 (14)
Half Yearly Rebalancing -7.02 (2) 7.85 (10) 9.71 (20) 15.80 (28)
Quarterly Rebalancing -7.01 (4) 7.59 (20) 9.08 (40) 12.52 (55)
5% Tolerance per asset -7.71 (0) 7.42 (5) 9.88 (8) 12.10 (12)
10% Tolerance per asset -7.96 (0) 7.26 (2) 13.62 (4) 14.65 (6)
(*) Returns over 1 year are annualized
(**) Since Jan 2009 (~14 yrs) | Annualized Returns

In order to have complete information about the portfolio, please refer to the Gyroscopic Investing Desert Portfolio with Bitcoin: ETF allocation and returns page.

Performances as of Jul 31, 2022

Historical returns and stats of Gyroscopic Investing Desert Portfolio with Bitcoin, after implementing different rebalancing strategies.

GYROSCOPIC INVESTING DESERT PORTFOLIO WITH BITCOIN PERFORMANCES
Period: January 2009 - July 2022
Swipe left to see all data
Standard Deviation
Max Drawdown (%)
Rebalancing Strategy (*)Return (%) StDev(%) Ret/StDev MaxDD(%) Ret/MaxDD
Yearly Rebalancing 17.43 (14) 36.31 0.48 -40.72 0.43
Half Yearly Rebalancing 15.80 (28) 14.95 1.06 -11.84 1.34
Quarterly Rebalancing 12.52 (55) 9.46 1.32 -11.82 1.06
5% Tolerance per asset 12.10 (12) 10.22 1.18 -12.44 0.97
10% Tolerance per asset 14.65 (6) 17.59 0.83 -12.95 1.13
(*) Since Jan 2009 (~14 yrs) | Annualized Returns (and number of rebalances)

Drawdowns as of Jul 31, 2022

Historical Drawdowns of Gyroscopic Investing Desert Portfolio with Bitcoin, after implementing different rebalancing strategies.

GYROSCOPIC INVESTING DESERT PORTFOLIO WITH BITCOIN DRAWDOWNS
Period: January 2009 - July 2022
Swipe left to see all data
Rebalancing
Tolerance per asset
Yearly Half Yearly Quarterly 5% 10%
-40.72
Jul 2011 - Nov 2013
-11.84
Jan 2022 - In progress
-11.82
Jan 2022 - In progress
-12.44
Jan 2022 - In progress
-12.95
Jan 2022 - In progress
-23.13
Dec 2013 - Oct 2017
-7.50
Dec 2013 - Mar 2016
-5.90
Jan 2009 - May 2009
-5.90
Jan 2009 - May 2009
-7.01
Jul 2011 - Jun 2012
-11.89
Nov 2021 - In progress
-7.05
May 2013 - Nov 2013
-5.72
Dec 2013 - Oct 2015
-4.80
Jan 2018 - Mar 2019
-5.90
Jan 2009 - May 2009
-5.90
Jan 2009 - May 2009
-5.90
Jan 2009 - May 2009
-4.33
Feb 2020 - Apr 2020
-4.33
Feb 2020 - Apr 2020
-5.31
Feb 2020 - May 2020
-4.33
Feb 2020 - Apr 2020
-4.33
Feb 2020 - Apr 2020
-3.57
Aug 2011 - Jan 2012
-3.57
Aug 2011 - Jan 2012
-4.65
May 2013 - Sep 2013
5 Worst Drawdowns - Average
-17.19 -7.32 -6.27 -6.21 -7.16
10 Worst Drawdowns - Average
-9.74 -5.04 -4.45 -4.33 -5.02

For a deeper insight, please refer to the Gyroscopic Investing Desert Portfolio with Bitcoin: ETF allocation and returns page.

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