Moderate Portfolio Objective
Provides a well balanced blend of investments that mix measured risk but plenty or room for upside.
The recommended portfolio allocation shown above corresponds to the most recent rebalancing.
|Name||Ticker||Rating||Category||% Allocated||Risk (%)||Beta||Fees
|Equity Index Fund||D||U.S. Equities - Blend||14%||34||1.01||0.2%
|International Value Fund||D--||Global & Intl. Equity||7%||28||0.79||0.43%
|Emerging Markets Equity||C-||Global & Intl. Equity||6%||33||0.87||0.67%
|Large Cap Value||C--||U.S. Equities - Value||22%||35||1.02||0.2%
|Large Cap Growth||C++||U.S. Equities - Growth||18%||33||0.96||0.2%
|Short Duration Bond||B++||Bonds||8%||4||0.03||0.12%
|PMP 2025 Fund||A--||Global & Intl. Equity||25%||17||0.48||0%
|Total Portfolio|| || || ||100%||9||0.77||0.19%
You can view the history of this portfolio's allocations.
Portfolio Risk profile
This section shows your portfolio risk and a comparative scale of the typical
risk level of several investment strategies so you know where you stand relative
to the market. The risk is expressed in percentage, between 0% (no risk at all)
to potentially more than 100% (extremely risky). Don't be fooled by the scale:
30% risk historically corresponds to a lot of risk...
While calculating the risk of an individual stock or bond is quite easy,
calculating the risk of a portfolio comprised of several of such stocks and
bonds can be quite difficult. The reason for this is that the risk of a
portfolio of securities is not equal to the average of the risk of each
individual securities. Rather, it is a subtle mix of their risk and correlation.
To calculate your portfolio risk, Kivalia uses a proprietary algorithm that
employs the well established principles of the Modern Portfolio Theory. The very
same type of risk modeling used by the professional investment management firms
in their portfolio construction, analysis and rebalancing process.
Your portfolio's risk of 9% means that there is a 90% chance within a year that a portfolio beginning with $10,000 is likely to end up somewhere between:
Portfolio Potential Gain & Loss
Investing is about risk and return. Every investment comes with the possibility of a gain or a loss, and because risk is the measure of the magnitude of the fluctuation in your investment value, there is a direct correlation between your level of risk and how much you possibly can gain - or lose - with the investment.Commonly, we say that the higher the risk, the higher the possibility of larger gains, but similarly, the higher the possibility for large losses.
Given the risk calculated for your portfolio, this section shows the likelihood of the fluctuation of your portfolio value within a year. It shows your current balance, as well as the likely ranges within wich your balance is to fluctuate within the year.
Diversification & Styles
Diversification is finance-speak for "don't put all your eggs in the same
Along with understanding your risk, diversificatiion is one of the most
important aspect of your investing strategy. Diversification is a technique that
mixes a wide variety of investments and investment types within a portfolio.
To calculate your diversification, we look for:
- How many stocks, bonds, etc... you invest in
- How all these correlate (move with respect) to each other
Your diversification is expressed in percentage, from 0% (poor
diversification) to 100% (very good diversification).
Style analysis provides you an idea of the investment style essentially by comparing the returns of this portfolio against the returns of 30 varying indices. It provides you with a better idea on what drives the performance of this portfolio.
This section shows the year-to-date, last 12 months and since inception model portfolio performance. It also shows how the model portfolio performed compared to a selected representative target-date retirement fund:
- Conservative portfolio: Vanguard Target-Date 2020
- Moderate portfolio: Vanguard Target-Date 2030
- Aggressive portfolio: Vanguard Target-Date 2050
Kivalia provides a refined returns value by showing the portfolio risk-adjusted return. These return values took into account the amount of risk involved in getting the return. Risk-adjusted returns will help reveal whether a return was obtained by smart investing or by taking excessive risk.
Following a plan allows you to:
- Access the plan directly from your profile page
- Receive e-mail alerts when the plan is rebalanced, or changed
- Make modifications and contribute to the plan information