Data Source: from January 1987 to September 2021

Last Update: 30 September 2021

The Stocks/Bonds 40/60 Portfolio is exposed for 40% on the Stock Market.

It's a Medium Risk portfolio and it can be replicated with 2 ETFs.

In the last 10 years, the portfolio obtained a 8.42% compound annual return, with a 5.84% standard deviation.

In the last 25 years, a 7.27% compound annual return, with a 6.53% standard deviation.

In 2020, the portfolio granted a 2.20% dividend yield. If you are interested in getting periodic income, please refer to the Stocks/Bonds 40/60 Portfolio: Dividend Yield page.

Asset Allocation and ETFs

The Stocks/Bonds 40/60 Portfolio has the following asset allocation:

40% Stocks
60% Fixed Income
0% Commodities

The Stocks/Bonds 40/60 Portfolio can be replicated with the following ETFs:

Weight Ticker ETF Name Investment Themes
40.00 % VTI Vanguard Total Stock Market Equity, U.S., Large Cap
60.00 % BND Vanguard Total Bond Market Bond, U.S., 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 Stocks/Bonds 40/60 Portfolio guaranteed the following returns.

STOCKS/BONDS 40/60 PORTFOLIO RETURNS (%)
Last Update: 30 September 2021
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1M 3M 6M 1Y 3Y(*) 5Y(*) 10Y(*) 20Y(*) 25Y(*)
Stocks/Bonds 40/60 Portfolio -2.56 -0.04 +4.52 +11.63 +9.79 +8.56 +8.42 +6.86 +7.27
Components
VTI
Vanguard Total Stock Market
-4.46 -0.03 +8.10 +32.16 +16.05 +16.88 +16.60 +10.07 +9.79
BND
Vanguard Total Bond Market
-1.01 -0.05 +1.88 -1.04 +5.36 +2.88 +2.88 +4.09 +4.86
(*) 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

If you are interested in getting periodic income, please refer to the Stocks/Bonds 40/60 Portfolio: Dividend Yield page.

Historical Returns

Stocks/Bonds 40/60 Portfolio - Historical returns and stats.

STOCKS/BONDS 40/60 PORTFOLIO
Last Update: 30 September 2021
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Period Returns
Sep 2021
Standard
Deviation *
Max
Drawdown
Months
Pos - Neg
1M
-2.56%
-2.56%
Sep 2021 - Sep 2021
0 - 1
3M
-0.04%
-2.56%
Sep 2021 - Sep 2021
2 - 1
6M
+4.52%
-2.56%
Sep 2021 - Sep 2021
5 - 1
YTD
+4.97%
-2.56%
Sep 2021 - Sep 2021
7 - 2
1Y
+11.63%
6.66%
-2.56%
Sep 2021 - Sep 2021
9 - 3
3Y
+9.79%
annualized
8.30%
-8.09%
Feb 2020 - Mar 2020
27 - 9
5Y
+8.56%
annualized
6.77%
-8.09%
Feb 2020 - Mar 2020
46 - 14
10Y
+8.42%
annualized
5.84%
-8.09%
Feb 2020 - Mar 2020
90 - 30
20Y
+6.86%
annualized
6.19%
-19.17%
Nov 2007 - Feb 2009
171 - 69
25Y
+7.27%
annualized
6.53%
-19.17%
Nov 2007 - Feb 2009
207 - 93
MAX
01 Jan 1987
+8.14%
annualized
6.73%
-19.17%
Nov 2007 - Feb 2009
293 - 124
* Annualized St.Dev. of monthly returns

Similar portfolios, ordered by 5 Years annualized return.

These portfolios share asset allocation strategy and/or similar asset weights. Comparing their returns and drawdowns, you can get an idea of the risk you are facing implementing one of them.

5 Years Stats
% Allocation
Portfolio Return Drawdown Stocks Bonds Comm.
Stocks/Bonds 40/60 with Bitcoin
+15.30% -8.75% 39 59 2 Compare
Stocks/Bonds 40/60
+8.56% -8.09% 40 60 0
Stocks/Bonds 40/60 Momentum
+8.45% -7.68% 40 60 0 Compare
Stocks/Bonds 40/60 ESG
+7.37% -6.32% 40 60 0 Compare

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
+8.32% -27.03% 50 50 0 Compare
All Weather Portfolio
Ray Dalio
+7.92% -12.19% 30 55 15 Compare
Robo Advisor 50
Betterment
+7.70% -30.72% 49.9 50.1 0 Compare
Stocks/Bonds 40/60
+7.27% -19.17% 40 60 0
Dynamic 40/60 Income
+7.22% -29.85% 40 60 0 Compare

See all portfolios

Capital Growth

Time Range:

Drawdowns

Time Range:

Rolling Returns ( more details)

Stocks/Bonds 40/60 Portfolio: annualized rolling and average returns

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Return (*) Negative
Periods
Rolling Period Average Best Worst
1 Year
+8.30% +25.63%
Mar 2009 - Feb 2010
-16.25%
Mar 2008 - Feb 2009
11.33%
2 Years
+8.18% +18.91%
Mar 2009 - Feb 2011
-7.31%
Mar 2007 - Feb 2009
5.84%
3 Years
+8.06% +17.79%
Jan 1995 - Dec 1997
-2.41%
Mar 2006 - Feb 2009
1.83%
5 Years
+7.97% +15.33%
Jan 1995 - Dec 1999
+0.55%
Mar 2004 - Feb 2009
0.00%
7 Years
+7.85% +13.48%
Oct 1990 - Sep 1997
+2.31%
Mar 2002 - Feb 2009
0.00%
10 Years
+7.76% +12.59%
Jan 1989 - Dec 1998
+2.89%
Mar 1999 - Feb 2009
0.00%
15 Years
+7.31% +10.02%
Jan 1987 - Dec 2001
+5.31%
Sep 2000 - Aug 2015
0.00%
20 Years
+7.31% +9.50%
Dec 1987 - Nov 2007
+5.38%
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 Stocks/Bonds 40/60 Portfolio: Rolling Returns page.

Seasonality and Yearly/Monthly Returns

Stocks/Bonds 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 %
0.83
69%
0.46
71%
0.36
71%
0.99
74%
0.80
69%
0.58
71%
0.96
69%
0.37
66%
0.25
57%
0.29
68%
0.97
74%
1.25
85%
Best
Year
5.9
1987
3.3
1991
3.7
2009
6.3
2020
5.2
1990
3.7
2019
5.0
1997
3.7
2000
3.7
1998
4.2
2011
5.4
2020
6.2
1991
Worst
Year
-4.5
2009
-4.4
2009
-6.1
2020
-2.5
2004
-2.6
2010
-3.2
2008
-2.7
2002
-5.5
1998
-3.8
2008
-8.9
1987
-2.7
2000
-2.7
2018
Statistics calculated for the period Jan 1987 - Sep 2021

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

Monthly Returns of Stocks/Bonds 40/60 Portfolio

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Months
Year Return Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2021
+4.97% -0.7 0.3 0.8 2.6 0.3 1.6 1.4 1.2 -2.6
2020
+13.04% 1.2 -2.2 -6.1 6.3 2.4 1.3 3.1 2.2 -1.5 -1.1 5.4 2.0
2019
+17.57% 4.1 1.4 1.7 1.7 -1.8 3.7 0.7 0.7 0.4 1.1 1.6 1.2
2018
-2.15% 1.4 -2.2 -0.4 -0.3 1.5 0.3 1.4 1.8 -0.2 -3.7 1.2 -2.7
2017
+10.63% 0.9 1.9 0.0 0.9 0.8 0.4 1.0 0.6 0.7 0.9 1.2 0.8
2016
+6.64% -1.6 0.5 3.3 0.5 0.7 1.3 1.9 -0.1 0.2 -1.5 0.3 1.0
2015
+0.48% 0.4 1.4 -0.1 0.1 0.2 -1.3 1.2 -2.6 -0.7 3.1 0.0 -1.0
2014
+8.51% -0.3 2.2 0.1 0.5 1.5 1.1 -1.0 2.4 -1.2 1.5 1.5 0.0
2013
+12.12% 1.8 0.9 1.7 1.3 -0.1 -1.6 2.7 -1.8 2.4 2.4 1.1 0.9
2012
+8.47% 2.4 1.8 1.0 0.4 -2.1 1.7 1.1 1.2 1.2 -0.8 0.5 0.0
2011
+5.14% 0.9 1.7 0.1 2.1 0.2 -1.0 0.0 -1.4 -2.5 4.2 -0.2 1.1
2010
+10.69% -0.7 1.5 2.4 1.5 -2.6 -1.4 3.2 -0.9 3.5 1.8 -0.2 2.2
2009
+13.74% -4.5 -4.4 3.7 4.4 2.6 0.5 4.0 2.2 2.4 -1.0 3.2 0.5
2008
-10.67% -1.7 -0.9 -0.1 1.6 0.2 -3.2 -0.2 1.1 -3.8 -8.0 0.2 4.2
2007
+6.30% 0.7 0.2 0.5 1.9 1.1 -1.0 -1.0 1.4 2.0 1.3 -0.8 -0.2
2006
+8.84% 1.2 0.3 0.2 0.3 -1.4 0.1 0.8 1.9 1.4 1.9 1.6 0.2
2005
+3.96% -0.6 0.4 -1.0 -0.1 2.2 0.6 1.1 0.4 -0.3 -1.4 2.1 0.6
2004
+7.66% 1.6 1.2 0.1 -2.5 0.3 1.2 -0.9 1.2 0.8 1.2 1.4 2.0
2003
+14.68% -1.1 0.2 0.2 3.9 3.5 0.6 -1.0 1.4 1.1 2.1 0.8 2.3
2002
-3.23% 0.1 -0.2 0.5 -0.8 -0.1 -2.5 -2.7 1.4 -2.5 1.9 2.0 -0.4
2001
+0.67% 2.6 -3.3 -2.2 2.7 0.8 -0.3 0.7 -1.5 -2.6 2.1 1.6 0.2
2000
+2.61% -1.8 1.7 3.1 -2.4 -1.4 3.0 -0.2 3.7 -1.4 -0.4 -2.7 1.8
1999
+9.07% 1.9 -2.6 1.9 2.2 -1.3 1.8 -1.6 -0.4 -0.3 2.8 1.5 3.0
1998
+14.45% 1.0 2.9 2.3 0.8 -0.6 2.0 -0.8 -5.5 3.7 2.6 2.8 2.9
1997
+18.06% 2.3 0.0 -2.4 2.7 3.4 2.5 5.0 -2.1 3.3 -0.7 1.6 1.3
1996
+10.53% 1.4 -0.4 0.0 0.7 1.0 0.4 -2.2 1.2 3.3 1.9 3.9 -1.0
1995
+25.22% 2.0 2.9 1.5 1.8 3.8 1.6 1.5 1.1 2.1 0.3 2.6 1.5
1994
-1.66% 2.1 -2.0 -3.2 -0.2 0.4 -1.2 2.3 1.9 -1.6 0.6 -1.6 1.0
1993
+10.06% 1.5 1.4 1.2 -0.7 1.3 1.3 0.3 2.6 0.2 0.8 -1.2 1.1
1992
+7.93% -0.8 0.9 -1.3 1.0 1.3 0.1 2.7 -0.2 1.2 -0.3 1.6 1.6
1991
+22.10% 2.7 3.3 1.6 0.7 2.1 -2.0 2.8 2.3 0.6 1.3 -1.2 6.2
1990
+2.76% -3.9 1.1 1.0 -1.7 5.2 0.7 0.3 -4.3 -1.5 0.5 3.7 2.0
1989
+19.43% 3.2 -1.1 1.0 3.2 3.1 1.6 4.5 0.1 0.2 0.2 1.1 1.2
1988
+11.34% 3.6 2.8 -1.3 0.1 -0.6 3.6 -0.6 -1.1 2.8 1.5 -1.2 1.1
1987
+1.97% 5.9 2.4 0.6 -2.4 0.0 2.7 2.0 1.4 -2.2 -8.9 -2.5 3.8

* Note:
Portofolio Returns, up to December 2007, 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:

  • VTI - Vanguard Total Stock Market: simulated historical serie, up to December 2001
  • BND - Vanguard Total Bond Market: simulated historical serie, up to December 2007
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