Aim Ways Aim comfortable trip To EUR Hedged Portfolio: Rebalancing Strategy

Data Source: from January 1985 to April 2024
Consolidated Returns as of 30 April 2024

This asset allocation page contains ETF(s) that are not available in our database in the destination currency (EUR).
We retained the original tickers and calculated returns using historical exchange rates or interest rate differentials in case currency hedging.

It's on you to opt for ETFs that mirror the same benchmark in the destination currency (EUR). The actual returns would be comparable, but they can fluctuate due to variations in sampling methodologies, annual fees, and the specific timing of exchange rate we use for month-end calculations. It is possible that you do not have access to ETFs in currency (hedged or not) that are similar to the original ones.

Managing the Aim Ways Aim comfortable trip To EUR Hedged Portfolio with a yearly rebalancing, you would have obtained a 6.90% compound annual return in the last 30 Years.

With a quarterly rebalancing, over the same period, the return would have been 6.84%.

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 Apr 30, 2024

Implementing different rebalancing strategies, the Aim Ways Aim comfortable trip To EUR Hedged Portfolio guaranteed the following returns.

According to the available data source, we assume we built the portfolio on January 1985.

Portfolio returns are calculated in EUR, assuming:
  • No fees or capital gain taxes
  • the reinvestment of dividends, if existing
  • the currency hedging (simulation taking into account the interest rate differentials of the countries). It is also assumed that hedged instruments have an additional expense ratio of 0.25% (yearly), compared to the US original instrument.
AIM WAYS AIM COMFORTABLE TRIP TO EUR HEDGED PORTFOLIO RETURNS
Period: January 1985 - April 2024
Annualized Returns
Swipe left to see all data
Return (%) and number of rebalances as of Apr 30, 2024
Rebalancing Strategy 1Y 5Y 10Y 30Y MAX
(~39Y)
Yearly Rebalancing 8.81 (1) 4.90 (5) 4.38 (10) 6.90 (30) 8.36 (40)
Half Yearly Rebalancing 8.61 (2) 4.93 (10) 4.46 (20) 6.74 (60) 8.24 (79)
Quarterly Rebalancing 8.44 (4) 5.08 (20) 4.50 (40) 6.84 (120) 8.33 (158)
5% Tolerance per asset 8.72 (0) 5.40 (2) 4.82 (4) 7.27 (15) 8.65 (18)
10% Tolerance per asset 8.64 (0) 5.23 (1) 4.96 (2) 7.16 (5) 8.61 (6)

In order to have complete information about the portfolio, please refer to the Aim Ways Aim comfortable trip To EUR Hedged Portfolio: ETF allocation and returns page.

Performances as of Apr 30, 2024

Historical returns and stats of Aim Ways Aim comfortable trip To EUR Hedged Portfolio, after implementing different rebalancing strategies.

AIM WAYS AIM COMFORTABLE TRIP TO EUR HEDGED PORTFOLIO PERFORMANCES
Period: January 1985 - April 2024
Swipe left to see all data
Standard Deviation
Max Drawdown (%)
Rebalancing Strategy Return % Std Dev(%) Ret. / Std Dev MaxDD(%) Ret. / MaxDD
Yearly Rebalancing 8.36 (40) 7.65 1.09 -18.70 0.45
Half Yearly Rebalancing 8.24 (79) 7.57 1.09 -19.44 0.42
Quarterly Rebalancing 8.33 (158) 7.61 1.10 -20.03 0.42
5% Tolerance per asset 8.65 (18) 7.74 1.12 -18.86 0.46
10% Tolerance per asset 8.61 (6) 7.92 1.09 -18.86 0.46
(*) Since Jan 1985 (~39 yrs) | Annualized Returns (and number of rebalances)

Drawdowns as of Apr 30, 2024

Historical Drawdowns of Aim Ways Aim comfortable trip To EUR Hedged Portfolio, after implementing different rebalancing strategies.

AIM WAYS AIM COMFORTABLE TRIP TO EUR HEDGED PORTFOLIO DRAWDOWNS
Period: January 1985 - April 2024
Swipe left to see all data
Rebalancing
Tolerance per asset
Yearly Half Yearly Quarterly 5% 10%
-18.70
Nov 2007 - Sep 2009
-19.44
Nov 2007 - Sep 2009
-20.03
Jun 2008 - Sep 2009
-18.86
Jun 2008 - Aug 2009
-18.86
Jun 2008 - Nov 2009
-16.43
Jan 2022 - Dec 2023
-16.42
Jan 2022 - Dec 2023
-16.49
Jan 2022 - Dec 2023
-16.83
Jan 2022 - Mar 2024
-16.65
Jan 2022 - Mar 2024
-12.19
Sep 1987 - Apr 1989
-10.52
Sep 1987 - Jan 1989
-9.90
Sep 1987 - Jan 1989
-10.88
Sep 1987 - Jan 1989
-11.56
Sep 2000 - May 2003
-9.57
Feb 2020 - Jul 2020
-9.57
Feb 2020 - Jul 2020
-9.57
Feb 2020 - Jun 2020
-9.33
Sep 2000 - Apr 2003
-11.26
Sep 1987 - Apr 1989
-8.63
Jan 1990 - Feb 1991
-9.17
Sep 2000 - May 2003
-8.90
Sep 2000 - Mar 2002
-9.19
Feb 2020 - Jun 2020
-10.09
Feb 2020 - Jul 2020
5 Worst Drawdowns - Average
-13.11 -13.03 -12.98 -13.02 -13.68
10 Worst Drawdowns - Average
-10.12 -9.75 -10.06 -9.80 -10.46

For a deeper insight, please refer to the Aim Ways Aim comfortable trip To EUR Hedged Portfolio: ETF allocation and returns page.