Stocks/Bonds 60/40 with Bitcoin Portfolio: Rebalancing Strategy

Data Source: from January 2009 to April 2024
Consolidated Returns as of 30 April 2024

Managing the Stocks/Bonds 60/40 with Bitcoin Portfolio with a yearly rebalancing, you would have obtained a 10.88% compound annual return in the last 10 Years.

With a quarterly rebalancing, over the same period, the return would have been 9.62%.

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 Stocks/Bonds 60/40 with Bitcoin Portfolio guaranteed the following returns.

According to the available data source, we 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
STOCKS/BONDS 60/40 WITH BITCOIN PORTFOLIO RETURNS
Period: January 2009 - 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 MAX
(~15Y)
Yearly Rebalancing 14.48 (1) 9.26 (5) 10.88 (10) 19.29 (16)
Half Yearly Rebalancing 13.88 (2) 9.21 (10) 9.70 (20) 18.08 (31)
Quarterly Rebalancing 14.07 (4) 9.49 (20) 9.62 (40) 15.23 (62)
5% Tolerance per asset 14.50 (1) 9.40 (5) 9.46 (7) 15.10 (16)
10% Tolerance per asset 14.03 (0) 9.07 (1) 9.68 (2) 15.89 (6)

In order to have complete information about the portfolio, please refer to the Stocks/Bonds 60/40 with Bitcoin Portfolio: ETF allocation and returns page.

Performances as of Apr 30, 2024

Historical returns and stats of Stocks/Bonds 60/40 with Bitcoin Portfolio, after implementing different rebalancing strategies.

STOCKS/BONDS 60/40 WITH BITCOIN PORTFOLIO PERFORMANCES
Period: January 2009 - 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 19.29 (16) 33.78 0.57 -42.67 0.45
Half Yearly Rebalancing 18.08 (31) 16.47 1.10 -21.37 0.85
Quarterly Rebalancing 15.23 (62) 12.58 1.21 -21.32 0.71
5% Tolerance per asset 15.10 (16) 13.08 1.15 -21.84 0.69
10% Tolerance per asset 15.89 (6) 13.55 1.17 -21.52 0.74
(*) Since Jan 2009 (~15 yrs) | Annualized Returns (and number of rebalances)

Drawdowns as of Apr 30, 2024

Historical Drawdowns of Stocks/Bonds 60/40 with Bitcoin Portfolio, after implementing different rebalancing strategies.

STOCKS/BONDS 60/40 WITH BITCOIN PORTFOLIO DRAWDOWNS
Period: January 2009 - April 2024
Swipe left to see all data
Rebalancing
Tolerance per asset
Yearly Half Yearly Quarterly 5% 10%
-42.67
Jul 2011 - Oct 2013
-21.37
Jan 2022 - Feb 2024
-21.32
Jan 2022 - Feb 2024
-21.84
Jan 2022 - Feb 2024
-21.52
Jan 2022 - Feb 2024
-22.56
Dec 2013 - Apr 2017
-12.82
Feb 2020 - Jul 2020
-12.82
Feb 2020 - Jun 2020
-12.82
Feb 2020 - Jun 2020
-13.29
Feb 2020 - Jul 2020
-21.45
Jan 2022 - Feb 2024
-11.49
Jan 2009 - May 2009
-11.49
Jan 2009 - May 2009
-11.49
Jan 2009 - May 2009
-11.49
Jan 2009 - May 2009
-12.82
Feb 2020 - Jul 2020
-9.07
Sep 2018 - Apr 2019
-8.82
Sep 2018 - Apr 2019
-9.75
Sep 2018 - Apr 2019
-9.70
Jul 2011 - Feb 2012
-11.49
Jan 2009 - May 2009
-8.75
Jul 2011 - Jan 2012
-8.75
Jul 2011 - Jan 2012
-8.75
Jul 2011 - Jan 2012
-8.92
Sep 2018 - Apr 2019
5 Worst Drawdowns - Average
-22.20 -12.70 -12.64 -12.93 -12.98
10 Worst Drawdowns - Average
-13.81 -9.24 -8.87 -8.92 -8.95

For a deeper insight, please refer to the Stocks/Bonds 60/40 with Bitcoin Portfolio: ETF allocation and returns page.