Craig Israelsen 7Twelve Portfolio To EUR: Rebalancing Strategy

Data Source: from January 1976 to April 2024
Consolidated Returns as of 30 April 2024

Managing the Craig Israelsen 7Twelve Portfolio To EUR with a yearly rebalancing, you would have obtained a 7.05% compound annual return in the last 30 Years.

With a quarterly rebalancing, over the same period, the return would have been 6.98%.

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 Craig Israelsen 7Twelve Portfolio To EUR guaranteed the following returns.

According to the available data source, we assume we built the portfolio on January 1976.

Portfolio returns are calculated in EUR, assuming:
  • No fees or capital gain taxes
  • the reinvestment of dividends, if existing
  • the adjustment for actual currency exchange rates (simulation derived from original US returns)
CRAIG ISRAELSEN 7TWELVE PORTFOLIO TO EUR RETURNS
Period: January 1976 - 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
(~48Y)
Yearly Rebalancing 11.17 (1) 6.68 (5) 6.62 (10) 7.05 (30) 9.21 (49)
Half Yearly Rebalancing 11.08 (2) 6.65 (10) 6.62 (20) 6.94 (60) 9.08 (97)
Quarterly Rebalancing 11.31 (4) 6.81 (20) 6.71 (40) 6.98 (120) 9.13 (194)
5% Tolerance per asset 11.23 (0) 6.46 (2) 6.65 (3) 7.14 (13) 9.40 (23)
10% Tolerance per asset 11.03 (0) 6.62 (1) 6.89 (1) 6.80 (2) 9.19 (5)

In order to have complete information about the portfolio, please refer to the Craig Israelsen 7Twelve Portfolio To EUR: ETF allocation and returns page.

Performances as of Apr 30, 2024

Historical returns and stats of Craig Israelsen 7Twelve Portfolio To EUR, after implementing different rebalancing strategies.

CRAIG ISRAELSEN 7TWELVE PORTFOLIO TO EUR PERFORMANCES
Period: January 1976 - 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 9.21 (49) 11.02 0.84 -27.90 0.33
Half Yearly Rebalancing 9.08 (97) 10.99 0.83 -27.86 0.33
Quarterly Rebalancing 9.13 (194) 10.99 0.83 -27.62 0.33
5% Tolerance per asset 9.40 (23) 11.15 0.84 -27.23 0.35
10% Tolerance per asset 9.19 (5) 11.66 0.79 -31.41 0.29
(*) Since Jan 1976 (~48 yrs) | Annualized Returns (and number of rebalances)

Drawdowns as of Apr 30, 2024

Historical Drawdowns of Craig Israelsen 7Twelve Portfolio To EUR, after implementing different rebalancing strategies.

CRAIG ISRAELSEN 7TWELVE PORTFOLIO TO EUR DRAWDOWNS
Period: January 1976 - April 2024
Swipe left to see all data
Rebalancing
Tolerance per asset
Yearly Half Yearly Quarterly 5% 10%
-27.90
Mar 1985 - Jan 1989
-27.86
Mar 1985 - Jan 1989
-27.62
Mar 1985 - Jan 1989
-27.23
Mar 1985 - Jan 1989
-31.41
Jun 2007 - Nov 2010
-23.09
Jun 2007 - Mar 2010
-23.36
Jun 2001 - Jun 2005
-23.60
Jun 2007 - Mar 2010
-23.32
Nov 2007 - Mar 2010
-28.43
Mar 1985 - Mar 1989
-22.32
Jun 2001 - May 2005
-21.84
Jun 2007 - Mar 2010
-22.71
Jun 2001 - May 2005
-23.09
Jun 2001 - Jun 2005
-24.84
Jun 2001 - Jun 2005
-20.11
Feb 1994 - Jan 1996
-20.04
Feb 1994 - Jan 1996
-19.91
Feb 1994 - Jan 1996
-20.30
Feb 1994 - Jan 1996
-20.67
Feb 1994 - Jan 1996
-17.09
Apr 1998 - Apr 1999
-17.08
Apr 1998 - Apr 1999
-17.22
Apr 1998 - Apr 1999
-17.55
Apr 1998 - Apr 1999
-17.89
Apr 1998 - Apr 1999
5 Worst Drawdowns - Average
-22.10 -22.04 -22.21 -22.30 -24.65
10 Worst Drawdowns - Average
-17.00 -16.95 -16.96 -17.13 -18.72

For a deeper insight, please refer to the Craig Israelsen 7Twelve Portfolio To EUR: ETF allocation and returns page.