Low-Risk Portfolios

This page displays low-risk portfolios available on portfolioeinstein.com.

Some words on risk

Risk comes in many shapes and forms. In academia and in much of the investing industry, risk in investing is measured by standard deviation (a measure of how much the price of an asset bounces around).

Now, a standard deviation is, well – academic. This is because, for you and me, the risk is the pain we go through when we lose money.  That pain is called draw-down. The draw-down of a portfolio is the amount of money the portfolio will lose in a  given year. So, for example, a portfolio with a draw-down of -20% has at some point lost 20% of its value. That’s a good indication of what could happen in the future.

Now, that’s pretty actionable information that we can plan around and relate to.

A rough rule of thumb is that for each 20% of stocks a portfolio has it has a draw-down of -10%. So a 100% stock portfolio has potentially a draw-down of -50%. A 60% stock portfolio has a potential draw-down of -30%.

There are other forms of risk however but the draw-down is what we will focus on when dividing the portfolios into the various risk levels. You should also look at standard deviation as well as the stock to bond ratio.

How the risk levels are determined

We have given the portfolios a risk level from one to three. = 1 – 3.

1 is the least risky but also offers the least reward.

3 is the riskiest but offers the most rewards.

The portfolios have been divided into tertiles. In the first tertile, the first 33.3% represent the portfolios that have the lowest draw-downs. The last 33.3% are the ones with the highest draw-downs.

You can find the other 2 risk portfolios here

High-Risk Portfolios

Medium-Risk Portfolios

This page is displaying the low-risk portfolios. They are suited for short term savings and even then you may be better off with a CD (certificate of deposit) or a standard savings account.

Low-risk portfolios

NameSee PortfolioAsset class countYear to dateReturn in 202010 year returnCAGR since 1989 (%)STDEVDraw DownRisk levelExpense ratio
The Permanent Portfolio4-1.74%16.156.627.255.87-3.15%10.14%
Premium Portfolio5-0.38%16.017.768.647.31-3.71%10.16%
The Marc Faber Portfolio64.28%10.786.638.129.06-16.81%10.11%
Allan Roth Second Grader Low Portfolio31.12%10.726.097.296.21-8.20%10.04%
Allan Roth Second Grader Five-Fund Low Risk Portfolio41.22%10.25.997.286.1-8.20%10.04%
Allan Roth Second Grader Low Risk with CDs Portfolio33.06%5.63.815.045.3-10.34%10.11%
Larry Swedroe, The Larry Portfolio 173.84%7.255.387.366.68-7.67%10.10%
Larry Swedroe, The Larry Portfolio 232.81%5.974.757.235.37-2.92%10.13%
Larry Swedroe, Eliminate Fat Tails Portfolio (value tilt)44.65%5.873.726.937.98-13.55%10.10%
William Bernstein Four Pillars Low Risk Portfolio45.73%9.766.587.388.04-15.91%10.05%
Rob Arnott Portfolio83.43%7.125.427.397.15-14.71%10.17%
Premium Portfolio81.48%11.837.638.468.56-15.60%10.10%
Meb Faber Risk Parity Portfolio70.63%9.575.037.095.91-7.34%10.14%
Robo Advisor Betterment 40113.53%8.296.017.647.68-13.47%10.07%
Harry Markowitz Father of Modern Portfolio Theory Portfolio24.55%14.378.958.839.25-15.92%10.04%
Rick Ferri Transitional Moderate Basic Portfolio54.14%11.457.387.978.56-17.05%10.05%
Rick Ferri Mature Retired Saver Moderate Basic Portfolio63.42%9.776.347.46.93-12.22%10.05%
Rick Ferri Mature Retired Saver Moderate Multi Asset Portfolio104.57%8.666.137.586.99-12.57%10.06%
Balanced Portfolio 10/902-1.33%9.044.856.684.78-2.41%10.04%
Balanced Portfolio 20/8020.14%10.375.97.265.47-3.28%10.04%
Balanced Portfolio 30/7021.61%11.716.937.816.53-7.49%10.04%
Premium Portfolio23.08%13.047.948.337.83-11.71%10.04%
Premium Portfolio24.55%14.378.958.839.25-15.92%10.04%
Index Fund Advisors, Portfolio 40165.33%5.895.096.896.93-13.07%10.10%
Index Fund Advisors, Portfolio 30163.64%5.684.356.25.36-8.79%10.09%
Index Fund Advisors, Portfolio 20161.95%5.473.595.493.93-4.51%10.08%
Index Fund Advisors, Portfolio 10160.26%5.262.824.752.86-0.23%10.07%
Paul Merriman Best-in-Class ETFs Portfolio (Conservative)154.61%6.365.127.386.76-10.09%10.10%
Paul Merriman Target Date Portfolio (65 year old)147.76%6.036.098.058.24-14.21%10.10%
TD Ameritrade Core Portfolio Conservative50.48%9.835.677.025.57-6.02%10.05%
TD Ameritrade Core Portfolio Moderate52.38%11.296.687.57.43-12.77%10.05%
TD Ameritrade Core Portfolio Moderate Growth53.65%12.267.347.798.87-17.28%10.05%
Merrill Lynch Edge Select Portfolio, Conservative121.28%6.814.86.424.87-5.24%10.10%
Merrill Lynch Edge Select Portfolio, Moderately Conservative122.45%11.686.958.017.68-12.84%10.09%
David Booth (DFA) Fixed Income Portfolio4-2.01%6.212.554.443.11-0.18%10.06%
David Booth (DFA) Conservative Portfolio151.32%6.224.065.823.89-3.04%10.08%
David Booth (DFA) Moderate Portfolio154.64%6.235.517.086.61-12.14%10.10%
Rick Ferri Core 4 fund Portfolio (40/60)42.70%10.826.747.77.25-12.56%10.05%
Rick Ferri Core 4 fund Portfolio (20/80)4-0.05%9.275.296.945.14-3.71%10.04%
Vanguard LifeStrategy Income Fund (20/80)4-0.18%8.855.366.774.99-3.73%10.05%
Vanguard LifeStrategy Conservative Growth (40/60)42.35%10.916.77.447.43-12.81%10.05%
T. Rowe Price ActivePlus Portfolio, Model 105-0.85%7.494.256.344.43-6.32%10.04%
T. Rowe Price ActivePlus Portfolio, Model 2040.22%8.765.326.945.56-9.72%10.04%
T. Rowe Price ActivePlus Portfolio, Model 3041.72%10.146.137.346.51-13.52%10.04%
T. Rowe Price ActivePlus Portfolio, Model 4043.17%11.216.947.77.62-17.97%10.04%
Schwab Managed Portfolio, Conservative Income60.05%4.393.375.644.07-1.95%10.10%
Schwab Managed Portfolio, Income With Growth102.30%6.144.736.395.15-8.25%10.09%
Schwab Managed Portfolio, Balanced115.10%7.415.47.167.83-17.18%10.11%
Meb Faber GAA102.18%11.326.828.068.15-15.76%10.14%
Premium Portfolio8-0.54%14.386.948.367.18-4.03%10.16%
Morningstar Lifetime Allocation Index Moderate, Income184.29%7.945.847.627.13-13.65%10.09%
Morningstar Lifetime Allocation Index Conservative, 2030184.92%9.096.68.158.57-17.47%10.09%
Morningstar Lifetime Allocation Index Conservative, Income182.52%6.974.857.025.83-8.44%10.08%
Dimensional Retirement Income Fund72.86%7.254.456.585.48-7.73%10.05%
7-Twelve Portfolio Age Based 60-70 by Craig Israelsen124.67%5.083.66.046.17-13.04%10.15%
7-Twelve Portfolio Age Based 70 Plus by Craig Israelsen123.11%3.532.65.024.38-8.00%10.15%
Dan Solin SuperSmart Portfolio, Low Risk83.25%3.52.885.614.09-2.62%10.07%
Dan Solin SuperSmart Portfolio, Medium-Low Risk86.49%3.964.486.946.71-11.84%10.10%
Dan Solin The Smartest ETF Portfolio, Low Risk21.95%5.752.975.193.93-3.19%10.06%
Dan Solin The Smartest ETF Portfolio, Medium-Low Risk23.89%8.474.666.076.77-12.98%10.06%
Dan Solin The Smartest Index Portfolio, Low Risk3-0.16%9.785.396.955.22-3.71%10.04%
Dan Solin The Smartest Index Portfolio, Medium-Low Risk32.49%11.856.947.727.5-12.56%10.04%
TIAA-CREF Lifecycle Index Retirement Income63.29%11.146.667.767.6-13.27%10.04%
William Bernstein Taxable Ted 40/6055.04%8.466.617.397.04-13.66%10.06%
William Bernstein Taxable Ted 30/7053.64%7.85.886.955.8-9.63%10.06%
William Bernstein Taxable Ted 20/8052.24%7.135.146.484.76-5.60%10.06%
William Bernstein Taxable Ted 10/9050.84%6.474.385.994.1-1.85%10.06%
William Bernstein Taxable Ted 100% Bonds1-0.56%5.83.625.473.99-2.30%10.06%
William Bernstein Sheltered Sam 40/60126.18%5.955.747.57.61-17.12%10.08%
William Bernstein Sheltered Sam 30/70124.80%5.735.067.046.54-13.81%10.07%
William Bernstein Sheltered Sam 20/80123.42%5.54.366.565.64-10.51%10.06%
William Bernstein Sheltered Sam 10/90122.03%5.283.656.055.0-7.20%10.06%
William Bernstein Sheltered Sam 100% Bonds20.65%5.062.925.534.72-3.90%10.05%
William Bernstein Charlie Cringe Portfolio45.81%9.626.667.357.99-15.62%10.05%
Robo Advisor Betterment 30122.57%7.035.077.196.67-10.91%10.08%
Robo Advisor Betterment 20121.69%5.843.916.294.94-5.81%10.07%
Robo Advisor Betterment 10120.80%4.682.725.343.66-0.72%10.06%
Robo Advisor Betterment 02-0.03%3.461.534.373.370.00%10.05%
Rick Ferri Total Economy Core-4 Portfolio Low-Risk40.52%8.515.046.855.02-3.83%10.05%
Rick Ferri Total Economy Core-4 Portfolio Conservative43.85%9.316.247.537.08-12.81%10.06%
Rick Ferri Global Markets Core-4 Low-Risk4-0.05%9.085.556.875.04-3.44%10.05%
Rick Ferri Global Markets Core-4 Conservative42.63%11.227.117.637.4-12.15%10.04%
Rick Ferri Inflation Fighter Core-4 Portfolio Low-Risk41.07%9.265.597.196.76-12.27%10.09%
Rick Ferri Income Seeker Core-4 Portfolio Low-Risk40.21%8.156.637.67.95-16.15%10.21%
Rick Ferri Socially Conscious ESG Core-4 Portfolio Low-Risk4-0.60%11.06.087.45.92-4.58%10.08%
Rick Ferri Socially Conscious ESG Core-4 Portfolio Conservative42.21%12.667.518.037.85-13.01%10.07%
3 Fund Portfolio 40/6032.58%11.687.037.697.43-12.22%10.04%
3 Fund Portfolio 20/803-0.11%9.75.446.935.19-3.54%10.04%
FPL Capital Management Portfolio 109-1.06%7.254.456.624.62-2.08%10.05%
FPL Capital Management Portfolio 2090.73%6.845.117.165.12-3.76%10.07%
FPL Capital Management Portfolio 3092.50%6.415.757.676.06-8.21%10.09%
FPL Capital Management Portfolio 4094.27%5.976.378.157.26-12.67%10.10%
Premium Portfolio96.03%5.546.988.68.62-17.12%10.12%
Assetbuilder.com Portfolio 5111.76%6.354.086.374.27-1.95%10.11%
Assetbuilder.com Portfolio 6123.81%6.184.787.155.64-6.66%10.13%
Assetbuilder.com Portfolio 7145.09%7.015.527.857.25-11.78%10.15%
Robo Advisor Wealthsimple Portfolio Conservative70.58%10.495.867.66.25-5.52%10.07%
Robo Advisor WiseBanyan 40% stocks93.49%10.266.887.938.2-16.69%10.10%
Robo Advisor WiseBanyan 30% stocks92.32%9.486.27.597.01-12.64%10.09%
Robo Advisor WiseBanyan 20% stocks91.19%8.455.367.115.89-8.49%10.08%
Robo Advisor WiseBanyan 13% stocks90.56%7.014.256.384.79-4.45%10.07%
PWL Capital Toronto (CA) 50% Stocks52.44%10.466.498.298.85-15.51%10.07%
PWL Capital Toronto (CA) 40% Stocks50.89%10.156.128.077.61-11.03%10.07%
PWL Capital Toronto (CA) 30% Stocks5-0.67%9.735.627.886.66-6.62%10.08%
PWL Capital Toronto (CA) 20% Stocks5-2.18%9.375.217.645.91-3.44%10.08%
Premium Portfolio43.81%12.787.638.269.07-17.06%10.04%
PWL Capital Toronto (US) 40% Stocks42.48%11.736.887.857.61-12.61%10.04%
PWL Capital Toronto (US) 30% Stocks41.14%10.746.097.496.38-8.27%10.04%
PWL Capital Toronto (US) 20% Stocks4-0.15%9.815.397.085.34-3.77%10.04%
PWL Capital Layton-Guay Portfolios (CA) 30/70 Conservative70.72%8.785.717.296.59-10.38%10.08%
PWL Capital Layton-Guay Portfolios (CA) 40/60 Cautious72.17%9.356.227.67.89-14.78%10.07%
PWL Capital Layton-Guay Portfolios (US) 30/70 Conservative61.97%9.335.956.996.42-11.48%10.05%
PWL Capital Layton-Guay Portfolios (US) 40/60 Cautious63.25%10.296.667.437.88-15.83%10.05%
PWL Capital Nancy And Her Team (CA), Conservative72.23%6.924.575.565.49-12.84%10.06%
PWL Capital Nancy And Her Team (CA), Cautious73.45%7.335.146.036.81-16.36%10.06%
PWL Capital Nancy And Her Team (US), Conservative62.31%8.385.325.85.74-13.18%10.05%
PWL Capital Nancy And Her Team (US), Cautious63.55%9.286.156.357.14-16.82%10.05%
PWL Capital Passmore & Felix (CA), 40/6062.65%8.315.746.366.57-13.25%10.06%
PWL Capital Passmore & Felix (CA), 50/5063.92%8.826.286.857.96-16.94%10.05%
PWL Capital Passmore & Felix (US), 40/6052.75%10.336.786.686.99-13.74%10.05%
PWL Capital Passmore & Felix (US), 50/5054.05%11.377.597.258.48-17.55%10.05%
Premium Portfolio54.78%12.668.058.38.58-14.24%10.05%
Gyroscopic Desert PortfolioComing soon31.19%13.446.917.766.34-7.46%10.06%
Premium Portfolio52.76%15.747.828.397.35-7.40%10.12%
Paul Boyer Permanent Portfolio (MMM)Coming soon5-0.67%13.85.037.777.34-6.16%10.14%
Canadian Portfolio Manager Model Portfolios (CA) 20% StocksComing soon5-2.17%9.515.37.635.89-3.36%10.08%
Canadian Portfolio Manager Model Portfolios (CA) 30% StocksComing soon5-0.61%9.975.797.916.62-6.54%10.08%
Canadian Portfolio Manager Model Portfolios (CA) 40% StocksComing soon50.94%10.426.278.167.65-11.04%10.07%
Canadian Portfolio Manager Model Portfolios (CA) 50% StocksComing soon52.49%10.886.738.388.87-15.53%10.07%
Canadian Portfolio Manager Model Portfolios (US) 20% StocksComing soon4-0.14%9.785.47.055.3-3.71%10.04%
Canadian Portfolio Manager Model Portfolios (US) 30% StocksComing soon41.19%10.86.187.496.34-8.15%10.04%
Canadian Portfolio Manager Model Portfolios (US) 40% StocksComing soon42.52%11.846.957.917.64-12.58%10.04%
Premium Portfolio43.84%12.877.698.299.08-17.02%10.04%
Canadian Couch Potato Model Portfolios (CA) ConservativeComing soon3-0.64%9.825.597.636.4-6.92%10.09%
Canadian Couch Potato Model Portfolios (CA) CautiousComing soon31.68%10.436.27.868.02-13.85%10.08%
Canadian Couch Potato Model Portfolios (US) ConservativeComing soon31.17%10.826.067.256.16-8.56%10.05%
Canadian Couch Potato Model Portfolios (US) CautiousComing soon33.16%12.387.157.738.15-15.42%10.05%
Premium Portfolio61.91%13.598.549.1310.29-17.15%10.09%
Premium Portfolio60.67%13.188.148.858.9-12.42%10.09%
Robo Advisor Wealthsimple Risk Level 0360.65%11.37.58.157.42-9.74%10.09%
Robo Advisor Wealthsimple Risk Level 0260.61%10.377.177.796.72-8.28%10.09%
Robo Advisor Wealthsimple Risk Level 0160.02%10.216.937.616.23-6.08%10.09%
The Canonical Portfolio (CA) 50% StocksComing soon42.48%10.236.577.978.51-15.09%10.07%
The Canonical Portfolio (CA) 40% StocksComing soon40.93%9.896.147.837.34-10.68%10.07%
The Canonical Portfolio (CA) 30% StocksComing soon4-0.62%9.575.77.666.38-6.28%10.08%
The Canonical Portfolio (US) 50% StocksComing soon33.85%12.487.677.938.81-16.64%10.04%
The Canonical Portfolio (US) 40% StocksComing soon32.52%11.546.937.627.41-12.28%10.04%
The Canonical Portfolio (US) 30% StocksComing soon31.19%10.586.177.276.16-7.92%10.04%
Robo Advisor Fidelity GO Taxable Conservative72.38%6.424.85.684.37-6.76%10.06%
Robo Advisor Fidelity GO Taxable Moderate With Income73.52%7.715.816.375.79-11.07%10.06%
Robo Advisor Fidelity GO Taxable Moderate74.65%8.866.656.937.23-15.19%10.06%
Robo Advisor Fidelity GO Tax-advantaged Conservative70.90%7.684.596.054.48-4.15%10.05%
Robo Advisor Fidelity GO Tax-advantaged Moderate With Income72.04%8.975.596.755.8-8.46%10.05%
Robo Advisor Fidelity GO Tax-advantaged Moderate73.33%9.996.467.287.19-12.84%10.05%
Robo Advisor Fidelity GO Tax-advantaged Balanced74.61%11.027.317.778.68-17.22%10.05%
Premium Portfolio83.74%11.736.958.289.04-17.28%10.05%
Robo Advisor SigFig Taxable 0383.32%10.856.47.918.14-14.77%10.05%
Robo Advisor SigFig Taxable 0282.67%9.825.97.497.1-12.04%10.05%
Robo Advisor SigFig Taxable 0182.15%9.115.497.246.49-10.21%10.05%
Robo Advisor SigFig Tax Sheltered 0483.64%9.566.238.188.97-17.51%10.07%
Robo Advisor SigFig Tax Sheltered 0383.20%9.176.08.028.35-15.71%10.07%
Robo Advisor SigFig Tax Sheltered 0282.28%8.435.67.686.94-11.47%10.07%
Robo Advisor SigFig Tax Sheltered 0182.02%8.065.357.576.66-10.40%10.07%
Axos Invest 40% StocksComing soon93.49%10.266.887.938.2-16.69%10.10%
Axos Invest 30% StocksComing soon92.32%9.486.27.597.01-12.64%10.09%
Axos Invest 20% StocksComing soon91.18%8.435.357.15.88-8.46%10.08%
Axos Invest 0% StocksComing soon5-1.13%6.443.325.744.5-2.42%10.07%
Premium Portfolio54.56%12.88.118.299.02-17.42%10.05%
Mark Hebner Portfolio 25% StocksComing soon94.29%5.594.827.095.92-6.79%10.08%
Fidelity Target Allocation Index-Focused Model Portfolios 20% StocksComing soon60.81%8.394.826.554.84-3.64%10.05%
Fidelity Target Allocation Index-Focused Model Portfolios 40% StocksComing soon73.29%10.36.567.517.29-12.64%10.05%
SoFi Model Portfolios Taxable Conservative30.06%5.183.695.243.7-1.98%10.06%
SoFi Model Portfolios Taxable Moderately Conservative62.88%8.345.66.646.23-11.80%10.05%
SoFi Model Portfolios Retirement Conservative4-2.34%7.293.716.094.42-2.58%10.06%
SoFi Model Portfolios Retirement Moderately Conservative61.12%9.695.687.466.96-11.80%10.07%
Robo Advisor Betterment 2020 Taxable 40% StocksComing soon123.34%7.926.427.717.99-15.35%10.08%
Robo Advisor Betterment 2020 Taxable 30% StocksComing soon122.41%7.085.497.146.4-10.53%10.08%
Robo Advisor Betterment 2020 Taxable 20% StocksComing soon121.45%6.194.476.484.97-5.62%10.07%
Robo Advisor Betterment 2020 Taxable 10% StocksComing soon120.53%5.133.295.673.86-1.43%10.06%
Robo Advisor Betterment 2020 Taxable 0% StocksComing soon10.01%3.041.234.173.510.00%10.05%
Robo Advisor Betterment 2020 Retirement 40% StocksComing soon124.38%7.076.47.417.9-16.30%10.08%
Robo Advisor Betterment 2020 Retirement 30% StocksComing soon123.36%6.315.486.876.28-11.42%10.07%
Robo Advisor Betterment 2020 Retirement 20% StocksComing soon122.27%5.514.456.254.82-6.38%10.07%
Robo Advisor Betterment 2020 Retirement 10% StocksComing soon121.16%4.613.285.53.69-1.21%10.06%
Robo Advisor Betterment 2020 Retirement 0% StocksComing soon10.01%3.041.234.173.510.00%10.05%
Dimensional Fund Advisors Model Portfolios 0% Stocks Fixed4-2.01%6.212.554.443.11-0.18%10.06%
Dimensional Fund Advisors Model Portfolios 20% Stocks Conservative151.12%6.514.015.723.93-3.12%10.08%
Dimensional Fund Advisors Model Portfolios 40% Stocks Moderate154.26%6.815.46.886.77-12.31%10.10%
Bogleheads Guide to Investing - An Investor in Early RetirementComing soon44.08%11.087.027.817.73-14.51%10.04%
Bogleheads Guide to Investing - An Investor in Late RetirementComing soon32.03%9.275.667.285.91-6.45%10.04%
Robo Advisor J.P. Morgan You Invest AggressiveComing soon70.64%9.575.287.135.74-6.28%10.05%
Robo Advisor Morgan Stanley Acces Investing Wealth ConservationComing soon50.12%8.814.676.675.07-4.03%10.04%
Robo Advisor Merrill Guided Investing Taxable Moderately ConservativeComing soon114.04%9.116.747.577.68-14.90%10.06%
Robo Advisor Merrill Guided Investing Taxable ConservativeComing soon102.06%7.485.456.474.97-6.19%10.09%
Robo Advisor Merrill Guided Investing ConservativeComing soon101.34%7.384.966.464.83-4.77%10.10%
Institute of Business and Finance Income PortfolioComing soon4-1.10%6.314.426.725.56-4.07%10.15%
J. D. Steinhilber Conservative
Growth
Coming soon3.92%8.475.336.776.55-12.25%10.09%
J. D. Steinhilber Moderate
Growth
Coming soon104.65%11.066.287.78.57-17.23%10.09%
Larry Swedroe Model Portfolios ConservativeComing soon126.01%4.614.576.696.53-11.68%10.08%
Premium Portfolio104.71%8.97.568.67.8-13.87%10.08%
Dr. Marvin Appel One-Decision PortfolioComing soon87.95%4.666.627.777.89-16.38%10.10%
Goldman Sachs Target Date Retirement Income Portfolio93.14%6.16.668.178.19-16.50%10.13%
Rob Arnott ETF.com model portfolioComing soon74.17%6.115.517.617.89-16.70%10.21%

Disclaimer: There are many factors that go into choosing your right portfolio, though not as many as you would think. Therefore, the information here presented are not specific recommendations but instead for information purposes only.

Now it’s your turn!

Which portfolio are you leaning towards and why?

Why do you think a low-risk portfolio is right for you?

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