BND 56% · BNDX 24% · VTI 12% · VXUS 8% CAGR +2.0%
SPY CAGR +12.0%
Shaded: major market crises Bear Market (2022)
Vanguard LifeStrategy 20/80
BND 56% · BNDX 24% · VTI 12% · VXUS 8% · Fixed income · U.S. total market · International equity
Vanguard LifeStrategy 20/80 Fund (VASIX) · Fund target allocation (named LifeStrategy Income before 2026)Sources (2)
5yr · 2021.10 – 2026.10 · $10,000 lump sum · monthly rebalancing · dividends reinvested · no taxes or fees · month-end
Final Balance $11,041
Invested $10,000
Gain +$1,041
SPY alone: $17,597
Annualized return +2.0%
10.0pp behind SPY
Max drawdown · month-end -16.3%
24 months from trough to recovery
SPY -23.9%
Loss after a 1-year hold 14%
7 of 49 past windows
8% even over 3 years
SPY 12%
Performance ⌄
Performance
Over 5 years it grew 1.1x; SPY grew 1.8x over the same period.
Calendar-year returns
Of 4 complete years: 1 with a loss, 1 ahead of SPY.
Show as a table
| Year | Selected allocation | SPY | In-year low |
|---|---|---|---|
| 2025 | +9.1% | +17.7% | -0.9% |
| 2024 | +4.8% | +24.9% | -2.4% |
| 2023 | +9.6% | +26.2% | -5.0% |
| 2022 | -13.9% | -18.2% | -16.3% |
Depending on when you bought
Every month in the window taken as a start, held one, three or five years.
Observed windows overlap and are not independent samples. These shares are not probabilities of future gains.
Risk & recovery
The deepest fall was -16.3%, regained 24 months after the low. During the Bear Market (2022) it returned -14.3%, while SPY returned -19.7%.
Compare allocations
The same holdings at different weights. Pick one and every figure and chart on this page switches to it.
| Allocation | |||
|---|---|---|---|
| +8.0% | -23.2% | 0.36 | |
| +6.0% | -21.0% | 0.23 | |
| +2.0% | -16.3% | -0.23 |
- Annualized return
- +8.0%
- Max drawdown · month-end
- -23.2%
- Return for the risk
- 0.36
- Annualized return
- +6.0%
- Max drawdown · month-end
- -21.0%
- Return for the risk
- 0.23
- Annualized return
- +2.0%
- Max drawdown · month-end
- -16.3%
- Return for the risk
- -0.23
Exploration on Lifolio; these counts do not establish investment performance or preference.
Holdings
By asset class: bonds 80% · equities 20%. Its dividend yield over the last 12 months was 3.7%; the results reinvest dividends.
- BNDVanguard Total Bond Market Index Fund ETF Shares 56%
An ETF investing across the U.S. bond market.
- BNDXVanguard Total International Bond Index Fund ETF Shares 24%
- VTIVanguard Morningstar Total Stock Market ETF 12%
An ETF investing across the U.S. equity market.
- VXUSVanguard Total International Stock Index Fund ETF Shares 8%
An ETF investing in equity markets outside the U.S.
Where this allocation comes fromVanguard LifeStrategy 20/80 Fund (VASIX) · Fund target allocation (named LifeStrategy Income before 2026)
Also known as: Vanguard LifeStrategy 20/80 Fund · Vanguard LifeStrategy Income Fund · VASIX
The target allocation of the Vanguard LifeStrategy 20/80 Fund: four index funds held at 20% stocks and 80% bonds.
| Asset in the source | Weight | Lifolio ETF |
|---|---|---|
| US total stock market | 12% | VTI |
| International stocks (ex-US) | 8% | VXUS |
| US aggregate bonds | 56% | BND |
| International bonds (USD-hedged) | 24% | BNDX |
Lifolio reproduces the fund's target allocation with ETFs tracking the same indexes as its four underlying funds (VTI, VXUS, BND, BNDX). Not affiliated with or endorsed by Vanguard, and not the fund's own returns. BNDX listed in June 2013, so history starts then.
Source: workplace.vanguard.com sec.gov
Lifolio is not affiliated with or endorsed by the people or organizations cited. Figures are historical simulations under Lifolio's standard conditions. Sources checked 2026-11-01.
Questions & methodology
What does the Vanguard LifeStrategy 20/80 portfolio hold?
Vanguard Total Bond Market Index Fund ETF Shares (BND): An ETF investing across the U.S. bond market. Vanguard Total International Bond Index Fund ETF Shares (BNDX) Vanguard Morningstar Total Stock Market ETF (VTI): An ETF investing across the U.S. equity market. Vanguard Total International Stock Index Fund ETF Shares (VXUS): An ETF investing in equity markets outside the U.S.
What were the return and risk of the Vanguard LifeStrategy 20/80 portfolio?
From 2021.10 to 2026.10, the annualized return was +2.0% and the largest month-end drawdown was -16.3%. The Sharpe ratio (return for the risk) is -0.23.
How did it compare with holding SPY alone?
From 2021.10 to 2026.10, the annualized return was +2.0% for these weights and +12.0% for SPY. Over the same window the largest month-end drawdown was -16.3% for these weights and -23.9% for SPY.
How far did the Vanguard LifeStrategy 20/80 portfolio fall, and how long did it take to get back?
Over the selected 5 years, the largest month-end decline was -16.3%, from a high in 2021.12 to a low in 2022.09. It regained the old high 24 months after the low.
Are dividends, taxes and exchange rates included?
Dividends are reinvested and results are in USD. Taxes, currency moves against your home currency and trading fees are not included. These results use US-listed ETFs; Korea-listed ETFs such as KODEX and TIGER can be added in the backtest.
The server calculates portfolio examples and actual user allocations with the same period, starting balance and settings. Validated metrics and their supporting charts are shown together.
Price data through: 2026.10.30