Build Frank Armstrong Ideal Portfolio With ETFs
Build Frank Armstrong's Portfolios with a few ETFs. How do they compare against other portfolios?
What is Frank Armstrong Ideal Portfolio?
Frank Armstrong’s Ideal Portfolio is exposed to 70% stocks and 30% bonds. It can be built with 7 ETFs. The portfolio is a high-risk portfolio.
For the past 10 years, the Frank Armstrong Ideal Portfolio has returned 8.32 with a standard deviation of 11.0.
The dividend yield is 2.19. The 30-year return is 7.67%.
Year to date Frank Armstrong’s Ideal Portfolio has returned -8.43. Last year it returned 6.8%.
Article Contents
- What is the historical return for Frank Armstrong’s Ideal portfolio?
- How does Frank Armstrong’s Ideal portfolio compare to the best portfolios?
- How do you build Frank Armstrong’s Ideal Portfolio with ETFs?
- Who Is Frank Armstrong?
- Description of Frank Armstrong’s portfolio
- Resources for Frank Armstrong’s portfolio
- Suggestions for your next steps
What is the historical return for Frank Armstrong’s Ideal portfolio?
Here is the historical return for Frank Armstrong’s Ideal portfolio.
Data was last updated on May 1, 2021 at 08:27 a.m. ET
| Name | Asset class count | Year to date | Return in 2020 | 10 year return | CAGR since 1989 (%) | Risk level | Expense ratio |
|---|---|---|---|---|---|---|---|
| Frank Armstrong Ideal Index Portfolio | 7 | -8.43 | 6.8 | 8.32 | 7.67 | 2 | 0.08% |
How does Frank Armstrong’s Ideal portfolio compare to the best portfolios?
Below you can see the returns of the best portfolios that we have benchmarked.
| Name | See Portfolio | Year to date | Return in 2020 | 10 year return | CAGR since 1989 (%) | Draw Down |
|---|---|---|---|---|---|---|
| Premium Portfolio |  | -12.97 | 18.29 | 16.52 | 11.28 | -37.63% |
| Premium Portfolio | | -12.98 | 18.11 | 11.03 | 11.21 | -44.87% |
| Premium Portfolio | | -13.6 | 19.7 | 14.99 | 10.85 | -32.77% |
| Premium Portfolio | | -8.98 | 3.19 | 11.85 | 10.99 | -36.46% |
| Premium Portfolio | | -9.17 | 3.66 | 11.87 | 10.88 | -36.35% |
| Premium Portfolio | | -14.04 | 21.03 | 16.29 | 11.25 | -37.00% |
| Premium Portfolio | | -9.45 | 8.7 | 14.47 | 11.14 | -35.26% |
| Premium Portfolio | | -11.1 | 7.48 | 11.45 | 10.93 | -37.91% |
| Premium Portfolio | | -9.97 | 5.36 | 13.2 | 11.81 | -35.43% |
| Premium Portfolio | | -8.76 | 3.42 | 13.15 | 10.99 | -40.85% |
How do you build Frank Armstrong’s Ideal Portfolio with ETFs?
Here is how you build Frank Armstrong’s Ideal portfolio with ETFs.
- 9.25% US Large Cap Value (VTV)
- 6.25% US Large Cap (VV)
- 9.25% US Small Cap Value (VIOV)
- 6.25% US Small Cap Growth (IJT)
- 8.00% REITs (VNQ)
- 31.00% International All-World ex-US (VEU)
- 30.00% Short Term Treasuries (VGSH)
The letters in brackets denote the stock symbol for the recommended ETF. You can look up the symbols at your stockbroker. You can see a listing of all the ETFs we recommend on this page.
Who Is Frank Armstrong?
Frank Armstrong III is an investment advisor and the author of The Informed Investor: A Hype-Free Guide to Constructing a Sound Financial Portfolio.
He is the CEO and founder of the advisory firm Investor Solutions.
Investor Solutions takes the fiduciary role very seriously.
Frank Armstrong has written several books, but the most famous one is The Informed Investor.
You can currently get his newest book for free on his website.
He often writes for Forbes.
Description of Frank Armstrong’s portfolio
Frank Armstrong presents the Ideal Index Portfolio in his book The Informed Investor: A Hype-Free Guide to Constructing a Sound Financial Portfolio. Frank Armstrong’s portfolio is tilted towards small-cap and value stocks.
It is relatively conservative. It holds 30% in short-term treasuries, which are considered an ultra-safe and a very low-volatile asset class.
The portfolio may be ideal for some people, but for others, it may be too conservative. If you are in your twenties, for example, you want to be at least 90% invested in stocks and preferably 100% in stocks.
Resources for Frank Armstrong’s portfolio
Frank Armstrong’s business website, Investor Solutions.
I found his book Save Your Retirement: What to Do If You Haven’t Saved Enough or If Your Investments Were Devastated by the Market Meltdown to be optimistic and very relevant at the moment due to the coronavirus outbreak.
Suggestions for your next steps
Finding the correct portfolio is hard. Maintaining your portfolio is also daunting. If you are still in doubt about which portfolio to choose, we suggest you read our article How To Invest Money: 5 Simple Steps That Work For Anyone
If you have already committed to a portfolio – good for you! If you need help maintaining the portfolio you will find our rebalance worksheet useful.
Rebalancing your portfolio lowers your risk and may provide higher returns in the long run. It is completely FREE.
You can find the rebalance worksheet in our article Here Is The Most Easy To Use Portfolio Rebalance Tool.
Rebalancing lowers your portfolio risk and can increase your returns.
If you want access to our high-performing portfolios then you want to take a look at the premium portfolios. This is a paid product that gives you the 20 best-performing portfolios since 1989. The portfolios represent a great opportunity for you to get more money from your investment portfolios. We think it’s a “no-brainer”.
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