This is the article detailing the investment portfolios of Index Fund Advisors.
Index Fund Advisors is headed up by Mark T. Hebner. It is an investment advisory firm using exclusively Dimensional Funds (DFA) and employing passive index strategies to achieve some very respectable returns.
Index Fund Advisors: Market Beating Portfolios
Article Contents
Who is Index Fund Advisors (IFA)?
IFA provides a wealth of fantastic information on investing on their site. Mark Hebner’s book Index Funds: The 12-Step Recovery Program for Active Investors is a great way to get up to speed on why indexing and passive investing is a superior way to invest. Just recently IFA had a Galton Board made to describe how random distribution occurs. It is a fun little gadget that shows that returns from asset classes are mostly random.
What is special about the Index Fund Advisors (IFA) Portfolios?
IFA’s portfolios are characterized by their tilt towards value and small-cap. The portfolios also diversify into many asset classes. This really helps as their returns are very good. The free lunch of diversifying is working great.
Performance of the Index Fund Advisors (IFA) Portfolios
| Portfolio name | Asset class count | 1 year return (2019) | Year to date | 10 year return | CAGR since 1989 | Drawdown | Risk Level | Expense ratio | Yield |
|---|---|---|---|---|---|---|---|---|---|
| Index Fund Advisors, Portfolio 100 | 12 | 24.13% | -0.65% | 10.75% | 10.53% | -39.62% | 5 - very high risk | 0.18% | 2.40% |
| Index Fund Advisors, Portfolio 80 | 16 | 20.49% | -0.34% | 9.03% | 9.46% | -30.83% | 4 - high risk | 0.16% | 2.28% |
| Index Fund Advisors, Portfolio 60 | 16 | 16.85% | -0.01% | 7.25% | 8.25% | -22.03% | 3 - medium risk | 0.13% | 2.14% |
| Index Fund Advisors, Portfolio 50 | 16 | 15.04% | 0.15% | 6.34% | 7.60% | -17.64% | 2 - low risk | 0.12% | 2.07% |
| Index Fund Advisors, Portfolio 90 | 16 | 22.15% | -0.50% | 9.73% | 9.94% | -34.47% | 5 - very high risk | 0.17% | 2.35% |
| Index Fund Advisors, Portfolio 70 | 16 | 18.62% | -0.18% | 8.06% | 8.83% | -25.91% | 3 - medium risk | 0.15% | 2.21% |
| Index Fund Advisors, Portfolio 40 | 16 | 13.32% | 0.31% | 5.45% | 6.92% | -13.07% | 2 - low risk | 0.11% | 2.00% |
| Index Fund Advisors, Portfolio 30 | 16 | 11.55% | 0.48% | 4.55% | 6.22% | -8.79% | 1 - very low risk | 0.10% | 1.93% |
| Index Fund Advisors, Portfolio 20 | 16 | 9.79% | 0.64% | 3.64% | 5.49% | -4.51% | 1 - very low risk | 0.08% | 1.86% |
| Index Fund Advisors, Portfolio 10 | 16 | 8.02% | 0.80% | 2.71% | 4.73% | -0.23% | 1 - very low risk | 0.07% | 1.80% |
Asset Allocation of Index Fund Advisors (IFA) Portfolios
Index Fund Advisors, Portfolio 10
- 1.20% US Large Cap Value (VTV)
- 1.20% US Large Cap (VV)
- 2.00% US Small Cap Value (VIOV)
- 2.00% US Small Cap (VIOO)
- 0.25% REITs (VNQ)
- 0.40% Emerging Markets (VWO)
- 0.60% International Large Cap Value (EFV)
- 0.60% International Small Cap Blend (VSS)
- 23.00% Short Term Treasuries (VGSH)
- 0.60% International Small Cap Value (DLS)
- 0.50% Emerging Markets Small Cap (EWX)
- 0.40% Emerging Markets Value (FNDE)
- 22.50% 1 Year Fixed Income (BSV)
- 22.50% 2 Year Global Fixed Income (BNDX)
- 22.50% 5 Year Global Fixed Income (BND/BNDX)
- 0.25% International REITs (VNQI)
Index Fund Advisors, Portfolio 20
- 2.40% US Large Cap Value (VTV)
- 2.40% US Large Cap (VV)
- 4.00% US Small Cap Value (VIOV)
- 4.00% US Small Cap (VIOO)
- 0.50% REITs (VNQ)
- 0.80% Emerging Markets (VWO)
- 1.20% International Large Cap Value (EFV)
- 1.20% International Small Cap Blend (VSS)
- 20.00% Short Term Treasuries (VGSH)
- 1.20% International Small Cap Value (DLS)
- 1.00% Emerging Markets Small Cap (EWX)
- 0.80% Emerging Markets Value (FNDE)
- 20.00% 1 Year Fixed Income (BSV)
- 20.00% 2 Year Global Fixed Income (BNDX)
- 20.00% 5 Year Global Fixed Income (BND/BNDX)
- 0.50% International REITs (VNQI)
Index Fund Advisors, Portfolio 30
- 3.60% US Large Cap Value (VTV)
- 3.60% US Large Cap (VV)
- 6.00% US Small Cap Value (VIOV)
- 6.00% US Small Cap (VIOO)
- 0.75% REITs (VNQ)
- 1.20% Emerging Markets (VWO)
- 1.80% International Large Cap Value (EFV)
- 1.80% International Small Cap Blend (VSS)
- 17.50% Short Term Treasuries (VGSH)
- 1.80% International Small Cap Value (DLS)
- 1.50% Emerging Markets Small Cap (EWX)
- 1.20% Emerging Markets Value (FNDE)
- 17.50% 1 Year Fixed Income (BSV)
- 17.50% 2 Year Global Fixed Income (BNDX)
- 17.50% 5 Year Global Fixed Income (BND/BNDX)
- 0.75% International REITs (VNQI)
Index Fund Advisors, Portfolio 40
- 4.80% US Large Cap Value (VTV)
- 4.80% US Large Cap (VV)
- 8.00% US Small Cap Value (VIOV)
- 8.00% US Small Cap (VIOO)
- 1.00% REITs (VNQ)
- 1.60% Emerging Markets (VWO)
- 2.40% International Large Cap Value (EFV)
- 2.40% International Small Cap Blend (VSS)
- 15.00% Short Term Treasuries (VGSH)
- 2.40% International Small Cap Value (DLS)
- 2.00% Emerging Markets Small Cap (EWX)
- 1.60% Emerging Markets Value (FNDE)
- 15.00% 1 Year Fixed Income (BSV)
- 15.00% 2 Year Global Fixed Income (BNDX)
- 15.00% 5 Year Global Fixed Income (BND/BNDX)
- 1.00% International REITs (VNQI)
Index Fund Advisors, Portfolio 50
- 6.00% US Large Cap Value (VTV)
- 6.00% US Large Cap (VV)
- 10.00% US Small Cap Value (VIOV)
- 10.00% US Small Cap (VIOO)
- 1.25% REITs (VNQ)
- 2.00% Emerging Markets (VWO)
- 3.00% International Large Cap Value (EFV)
- 3.00% International Small Cap Blend (VSS)
- 12.50% Short Term Treasuries (VGSH)
- 3.00% International Small Cap Value (DLS)
- 2.50% Emerging Markets Small Cap (EWX)
- 2.00% Emerging Markets Value (FNDE)
- 12.50% 1 Year Fixed Income (BSV)
- 12.50% 2 Year Global Fixed Income (BNDX)
- 12.50% 5 Year Global Fixed Income (BND/BNDX)
- 1.25% International REITs (VNQI)
Index Fund Advisors, Portfolio 60
- 7.20% US Large Cap Value (VTV)
- 7.20% US Large Cap (VV)
- 12.00% US Small Cap Value (VIOV)
- 12.00% US Small Cap (VIOO)
- 1.50% REITs (VNQ)
- 2.40% Emerging Markets (VWO)
- 3.60% International Large Cap Value (EFV)
- 3.60% International Small Cap Blend (VSS)
- 10.00% Short Term Treasuries (VGSH)
- 3.60% International Small Cap Value (DLS)
- 3.00% Emerging Markets Small Cap (EWX)
- 2.40% Emerging Markets Value (FNDE)
- 10.00% 1 Year Fixed Income (BSV)
- 10.00% 2 Year Global Fixed Income (BNDX)
- 10.00% 5 Year Global Fixed Income (BND/BNDX)
- 1.50% International REITs (VNQI)
Index Fund Advisors, Portfolio 70
- 8.40% US Large Cap Value (VTV)
- 8.40% US Large Cap (VV)
- 14.00% US Small Cap Value (VIOV)
- 14.00% US Small Cap (VIOO)
- 1.75% REITs (VNQ)
- 2.80% Emerging Markets (VWO)
- 4.20% International Large Cap Value (EFV)
- 4.20% International Small Cap Blend (VSS)
- 7.50% Short Term Treasuries (VGSH)
- 4.20% International Small Cap Value (DLS)
- 3.50% Emerging Markets Small Cap (EWX)
- 2.80% Emerging Markets Value (FNDE)
- 7.50% 1 Year Fixed Income (BSV)
- 7.50% 2 Year Global Fixed Income (BNDX)
- 7.50% 5 Year Global Fixed Income (BND/BNDX)
- 1.75% International REITs (VNQI)
Index Fund Advisors, Portfolio 80
- 9.60% US Large Cap Value (VTV)
- 9.60% US Large Cap (VV)
- 16.00% US Small Cap Value (VIOV)
- 16.00% US Small Cap (VIOO)
- 2.00% REITs (VNQ)
- 3.20% Emerging Markets (VWO)
- 4.80% International Large Cap Value (EFV)
- 4.80% International Small Cap Blend (VSS)
- 5.00% Short Term Treasuries (VGSH)
- 4.80% International Small Cap Value (DLS)
- 4.00% Emerging Markets Small Cap (EWX)
- 3.20% Emerging Markets Value (FNDE)
- 5.00% 1 Year Fixed Income (BSV)
- 5.00% 2 Year Global Fixed Income (BNDX)
- 5.00% 5 Year Global Fixed Income (BND/BNDX)
- 2.00% International REITs (VNQI)
Index Fund Advisors, Portfolio 90
- 10.80% US Large Cap Value (VTV)
- 10.80% US Large Cap (VV)
- 18.00% US Small Cap Value (VIOV)
- 18.00% US Small Cap (VIOO)
- 2.25% REITs (VNQ)
- 3.60% Emerging Markets (VWO)
- 5.40% International Large Cap Value (EFV)
- 5.40% International Small Cap Blend (VSS)
- 2.50% Short Term Treasuries (VGSH)
- 5.40% International Small Cap Value (DLS)
- 4.50% Emerging Markets Small Cap (EWX)
- 3.60% Emerging Markets Value (FNDE)
- 2.50% 1 Year Fixed Income (BSV)
- 2.50% 2 Year Global Fixed Income (BNDX)
- 2.50% 5 Year Global Fixed Income (BND/BNDX)
- 2.25% International REITs (VNQI)
Index Fund Advisors, Portfolio 100
- 12.00% US Large Cap Value (VTV)
- 12.00% US Large Cap (VV)
- 20.00% US Small Cap Value (VIOV)
- 20.00% US Small Cap (VIOO)
- 3.00% REITs (VNQ)
- 4.00% Emerging Markets (VWO)
- 6.00% International Large Cap Value (EFV)
- 6.00% International Small Cap Blend (VSS)
- 6.00% International Small Cap Value (DLS)
- 5.00% Emerging Markets Small Cap (EWX)
- 4.00% Emerging Markets Value (FNDE)
- 2.00% International REITs (VNQI)
Alternatives to Index Fund Advisors (IFA) Portfolios
The 3 most similar groups of portfolios to the Index Fund Advisors (IFA) Portfolios. The first group of portfolios is David Booth’s portfolios. David Booth is the CEO of Dimensional Funds, so no surprise why the portfolios are similar. The second group is Dan Solin’s portfolios. Dan Solin used to work at IFA. The third group of portfolios is the FPL Capital Management Portfolios.
Conclusion
Which portfolio do you use? Do you think an IFA portfolio is right for you?
After having read up on Index Fund Advisors Portfolios I encourage you to find other great portfolios right here on portfolioeinstein.com.
If you have suggestions for new portfolios be sure to add them in comments or reach out to me. I answer each and every mail and comment.
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