Last Update: 31 March 2021
The Developed World 80/20 Portfolio is exposed for 80% on the Stock Market.
It's a Very High Risk portfolio and it can be replicated with 2 ETFs.
In the last 10 years, the portfolio obtained a 5.88% compound annual return, with a 12.05% standard deviation.
In 2020, the portfolio granted a 2.00% dividend yield. If you are interested in getting periodic income, please refer to the Developed World 80/20 Portfolio: Dividend Yield page.
Asset Allocation and ETFs
The Developed World 80/20 Portfolio has the following asset allocation:
The Developed World 80/20 Portfolio can be replicated with the following ETFs:
| Weight | Ticker | ETF Name | Investment Themes | |
|---|---|---|---|---|
| 80.00 % | VEA | Vanguard FTSE Developed Markets | Equity, EAFE, Large Cap | |
| 20.00 % | BNDX | Vanguard Total International Bond | Bond, Developed Markets, All-Term |
Portfolio and ETF Returns
The Developed World 80/20 Portfolio guaranteed the following returns.
| 1M | 3M | 6M | 1Y | 3Y(*) | 5Y(*) | 10Y(*) | |
|---|---|---|---|---|---|---|---|
| Developed World 80/20 Portfolio | +2.23 | +3.15 | +16.71 | +38.92 | +6.23 | +8.52 | +5.88 |
| Components | |||||||
| VEA - Vanguard FTSE Developed Markets | +2.77 | +4.51 | +21.72 | +50.88 | +6.59 | +9.66 | +5.98 |
| BNDX - Vanguard Total International Bond | -0.01 | -2.29 | -1.22 | +2.68 | +3.99 | +3.28 | +4.56 |
- 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 Developed World 80/20 Portfolio: Dividend Yield page.
Historical Returns
Developed World 80/20 Portfolio - Historical returns and stats.
| Period | Returns Mar 2021 |
Standard Deviation * |
Max Drawdown |
Months Pos - Neg |
|---|---|---|---|---|
|
1M
|
+2.23%
|
0.00%
|
1 - 0 | |
|
3M
|
+3.15%
|
-0.70%
Jan 2021 - Jan 2021
|
2 - 1 | |
|
6M
|
+16.71%
|
-2.71%
Oct 2020 - Oct 2020
|
4 - 2 | |
|
YTD
|
+3.15%
|
-0.70%
Jan 2021 - Jan 2021
|
2 - 1 | |
|
1Y
|
+38.92%
|
12.13%
|
-3.91%
Sep 2020 - Oct 2020
|
9 - 3 |
|
3Y
|
+6.23%
annualized
|
14.28%
|
-19.27%
Jan 2020 - Mar 2020
|
22 - 14 |
|
5Y
|
+8.52%
annualized
|
11.77%
|
-19.27%
Jan 2020 - Mar 2020
|
40 - 20 |
|
10Y
|
+5.88%
annualized
|
12.05%
|
-19.27%
Jan 2020 - Mar 2020
|
72 - 48 |
|
MAX
01 Jan 1999
|
+5.67%
annualized
|
13.47%
|
-47.74%
Nov 2007 - Feb 2009
|
161 - 106 |
* Annualized St.Dev. of monthly returns
Best Very High Risk Porftolios, ordered by 10Y annualized return.
| Portfolio | 10Y Return ▾ | Stocks | Bonds | Comm. | ||
|---|---|---|---|---|---|---|
| Technology |
+19.92% | 100 | 0 | 0 | Compare | |
| US Stocks |
+13.80% | 100 | 0 | 0 | Compare | |
| Warren Buffett |
+12.75% | 90 | 10 | 0 | Compare | |
| Stocks/Bonds 80/20 |
+11.80% | 80 | 20 | 0 | Compare | |
| Second Grader's Starter Paul Farrell |
+10.29% | 90 | 10 | 0 | Compare |
Capital Growth
Drawdowns
Rolling Returns ( more details)
Developed World 80/20 Portfolio: annualized rolling and average returns
| Return (*) | Negative Periods |
|||
|---|---|---|---|---|
| Rolling Period | Average | Best | Worst | |
| 1 Year |
+6.16% |
+47.57% Mar 2009 - Feb 2010 |
-41.68% Mar 2008 - Feb 2009 |
35.16% |
| 2 Years |
+5.24% |
+31.72% Mar 2009 - Feb 2011 |
-22.86% Mar 2007 - Feb 2009 |
29.10% |
| 3 Years |
+5.26% |
+25.55% Apr 2003 - Mar 2006 |
-13.84% Apr 2000 - Mar 2003 |
25.00% |
| 5 Years |
+5.78% |
+19.86% Oct 2002 - Sep 2007 |
-3.78% Jun 2007 - May 2012 |
8.65% |
| 7 Years |
+5.72% |
+11.17% Apr 2003 - Mar 2010 |
+1.13% Nov 2007 - Oct 2014 |
0.00% |
| 10 Years |
+5.18% |
+9.51% Apr 2003 - Mar 2013 |
+1.34% Mar 1999 - Feb 2009 |
0.00% |
| 15 Years |
+5.68% |
+8.58% Feb 2003 - Jan 2018 |
+3.81% Jan 2000 - Dec 2014 |
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 Developed World 80/20 Portfolio: Rolling Returns page.
Seasonality and Yearly/Monthly Returns
Developed World 80/20 Portfolio Seasonality
| Months | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Return (%) | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
| Average | -0.6 | 0.0 | 0.8 | 2.5 | -0.5 | 0.1 | 0.9 | -0.1 | -0.2 | 0.6 | 1.1 | 2.0 |
| Best |
6.2 2019 |
4.9 2015 |
6.5 2009 |
9.4 2009 |
10.6 2009 |
5.6 2012 |
9.1 2009 |
4.1 2009 |
7.5 2010 |
7.5 2011 |
11.2 2020 |
7.6 2008 |
| Worst |
-11.0 2009 |
-8.0 2009 |
-12.4 2020 |
-4.2 2000 |
-8.9 2012 |
-7.1 2008 |
-7.6 2002 |
-6.7 2011 |
-10.0 2008 |
-16.2 2008 |
-4.8 2008 |
-4.2 2018 |
| Gain Frequency |
52 | 57 | 65 | 77 | 41 | 45 | 59 | 59 | 64 | 64 | 68 | 73 |
Detail of Monthly Returns
| Months | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Year | Return | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
| 2021 |
+3.15% | -0.7 | 1.6 | 2.2 | |||||||||
| 2020 |
+8.72% | -2.0 | -5.9 | -12.4 | 5.8 | 4.4 | 2.8 | 2.3 | 3.9 | -1.2 | -2.7 | 11.2 | 4.6 |
| 2019 |
+19.67% | 6.2 | 1.9 | 0.8 | 2.3 | -4.0 | 5.0 | -1.4 | -1.1 | 2.4 | 2.5 | 1.0 | 2.8 |
| 2018 |
-11.24% | 3.7 | -4.1 | -0.1 | 1.0 | -1.2 | -1.2 | 1.8 | -1.4 | 0.5 | -6.8 | 0.5 | -4.2 |
| 2017 |
+21.61% | 2.7 | 1.0 | 2.5 | 1.9 | 2.9 | 0.4 | 2.4 | 0.2 | 2.0 | 1.6 | 0.8 | 1.4 |
| 2016 |
+3.06% | -4.2 | -2.2 | 5.8 | 1.8 | -0.1 | -1.2 | 3.5 | 0.3 | 1.3 | -2.2 | -1.5 | 2.0 |
| 2015 |
-0.06% | 0.9 | 4.9 | -0.9 | 2.9 | -0.1 | -2.6 | 1.4 | -6.0 | -3.1 | 5.5 | -0.6 | -1.7 |
| 2014 |
-3.03% | -3.9 | 4.8 | -0.2 | 1.4 | 1.6 | 1.0 | -1.8 | 0.5 | -3.3 | -0.2 | 0.2 | -2.8 |
| 2013 |
+17.30% | 3.0 | -0.8 | 1.1 | 4.4 | -2.8 | -2.6 | 4.3 | -1.4 | 6.5 | 2.8 | 0.6 | 1.5 |
| 2012 |
+16.75% | 4.8 | 4.0 | 0.3 | -1.7 | -8.9 | 5.6 | 0.6 | 2.8 | 2.4 | 0.9 | 2.3 | 3.5 |
| 2011 |
-8.12% | 1.8 | 3.0 | -2.0 | 5.2 | -2.0 | -1.1 | -1.5 | -6.7 | -8.7 | 7.5 | -1.7 | -1.0 |
| 2010 |
+8.38% | -4.0 | 0.7 | 5.1 | -1.9 | -8.9 | -1.0 | 9.0 | -2.2 | 7.5 | 3.2 | -4.1 | 6.4 |
| 2009 |
+25.05% | -11.0 | -8.0 | 6.5 | 9.4 | 10.6 | -1.1 | 9.1 | 4.1 | 3.5 | -2.1 | 3.5 | 0.6 |
| 2008 |
-32.99% | -5.4 | -0.5 | 0.1 | 4.0 | 0.8 | -7.1 | -2.5 | -3.0 | -10.0 | -16.2 | -4.8 | 7.6 |
| 2007 |
+9.92% | 1.0 | 0.5 | 2.1 | 3.1 | 1.8 | -0.2 | -1.5 | -0.5 | 4.5 | 3.8 | -2.9 | -2.0 |
| 2006 |
+21.60% | 4.9 | -0.5 | 2.8 | 3.9 | -2.8 | -0.3 | 1.0 | 2.4 | 0.3 | 3.2 | 2.7 | 2.2 |
| 2005 |
+11.88% | -1.4 | 3.3 | -1.8 | -1.3 | -0.2 | 1.0 | 2.5 | 2.8 | 3.3 | -2.4 | 1.5 | 4.3 |
| 2004 |
+17.42% | 1.2 | 2.1 | 0.6 | -2.4 | 0.5 | 2.2 | -2.8 | 0.6 | 2.2 | 2.8 | 5.7 | 3.7 |
| 2003 |
+31.72% | -3.1 | -1.5 | -1.6 | 7.8 | 5.1 | 1.9 | 1.8 | 1.8 | 2.7 | 5.0 | 1.9 | 6.7 |
| 2002 |
-10.63% | -4.1 | 0.6 | 4.5 | 0.4 | 1.5 | -3.0 | -7.6 | 0.0 | -8.1 | 4.1 | 3.6 | -2.1 |
| 2001 |
-15.38% | 0.4 | -5.8 | -4.8 | 5.7 | -3.2 | -3.2 | -0.7 | -1.6 | -7.5 | 2.6 | 2.0 | 0.4 |
| 2000 |
-9.59% | -5.3 | 2.5 | 3.3 | -4.2 | -1.8 | 3.3 | -3.1 | 0.8 | -3.5 | -1.8 | -2.5 | 2.9 |
| 1999 |
+30.43% | 1.2 | -2.0 | 3.9 | 4.5 | -3.8 | 3.8 | 2.9 | 1.3 | 1.4 | 3.1 | 4.3 | 6.9 |
* 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:
VEA - Vanguard FTSE Developed Markets: simulated historical serie, up to December 2007
BNDX - Vanguard Total International Bond: simulated historical serie, up to December 2013