TLT 26% · GLD 16% · USMV 14% · VIOV 14% · VUG 14% · REET 10% · SHV 6% CAGR +4.8%
SPY CAGR +12.0%
Shaded: major market crises Bear Market (2022)
Golden Ratio Portfolio (2020 original)
TLT 26% · GLD 16% · USMV 14% · VIOV 14% · VUG 14% · REET 10% · SHV 6% · Gold · REITs & real estate · U.S. short-term Treasuries
Frank Vasquez (Risk Parity Radio) · Risk Parity Radio sample portfolio · 2020Sources (1)
5yr · 2021.10 – 2026.10 · $10,000 lump sum · monthly rebalancing · dividends reinvested · no taxes or fees · month-end
Final Balance $12,660
Invested $10,000
Gain +$2,660
SPY alone: $17,597
Annualized return +4.8%
7.1pp behind SPY
Max drawdown · month-end -22.2%
22 months from trough to recovery
SPY -23.9%
Loss after a 1-year hold 16%
8 of 49 past windows
None when held 3+ years
SPY 12%
Performance ⌄
Performance
Over 5 years it grew 1.3x; SPY grew 1.8x over the same period.
Calendar-year returns
Of 4 complete years: 1 with a loss, 0 ahead of SPY.
Show as a table
| Year | Selected allocation | SPY | In-year low |
|---|---|---|---|
| 2025 | +16.1% | +17.7% | -1.4% |
| 2024 | +10.2% | +24.9% | -4.3% |
| 2023 | +14.2% | +26.2% | -9.5% |
| 2022 | -18.5% | -18.2% | -22.2% |
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 -22.2%, regained 22 months after the low. During the Bear Market (2022) it returned -18.4%, while SPY returned -19.7%.
Holdings
By asset class: equities 42% · bonds 32% · commodities 16% · real estate 10%. Its dividend yield over the last 12 months was 2.3%; the results reinvest dividends.
- TLTiShares 20+ Year Treasury Bond ETF 26%
An ETF investing in U.S. Treasury bonds with maturities over 20 years.
- GLDSPDR Gold Shares 16%
An investment product providing exposure to gold prices.
- USMViShares MSCI USA Min Vol Factor ETF 14%
- VIOVVanguard S&P Small-Cap 600 Value Index Fund ETF Shares 14%
- VUGVanguard Morningstar Growth ETF 14%
- REETiShares Global REIT ETF 10%
- SHViShares 0–1 Year Treasury Bond ETF 6%
An ETF investing in short-term U.S. Treasury securities.
Where this allocation comes fromFrank Vasquez (Risk Parity Radio) · Risk Parity Radio sample portfolio · 2020
Also known as: Golden Ratio Portfolio original version
Large growth, small value and low-volatility stocks at 14% each, long Treasuries 26, gold 16, global REITs 10 and cash 6: the mix before the 2024 revision.
| Asset in the source | Weight | Lifolio ETF |
|---|---|---|
| US large-cap growth | 14% | VUG |
| US small-cap value | 14% | VIOV |
| US low-volatility stocks | 14% | USMV |
| US long-term Treasuries | 26% | TLT |
| Gold | 16% | GLD |
| Global REITs | 10% | REET |
| Cash (US Treasury bills) | 6% | SHV |
Uses Vasquez's own VUG, VIOV, USMV, TLT and REET. REET listed in July 2014, so history starts then.
Source: riskparityradio.com
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 Golden Ratio Portfolio (2020 original) hold?
iShares 20+ Year Treasury Bond ETF (TLT): An ETF investing in U.S. Treasury bonds with maturities over 20 years. SPDR Gold Shares (GLD): An investment product providing exposure to gold prices. iShares MSCI USA Min Vol Factor ETF (USMV) Vanguard S&P Small-Cap 600 Value Index Fund ETF Shares (VIOV) Vanguard Morningstar Growth ETF (VUG) iShares Global REIT ETF (REET) iShares 0–1 Year Treasury Bond ETF (SHV): An ETF investing in short-term U.S. Treasury securities.
What were the return and risk of the Golden Ratio Portfolio (2020 original)?
From 2021.10 to 2026.10, the annualized return was +4.8% and the largest month-end drawdown was -22.2%. The Sharpe ratio (return for the risk) is 0.13.
How did it compare with holding SPY alone?
From 2021.10 to 2026.10, the annualized return was +4.8% for these weights and +12.0% for SPY. Over the same window the largest month-end drawdown was -22.2% for these weights and -23.9% for SPY.
How far did the Golden Ratio Portfolio (2020 original) fall, and how long did it take to get back?
Over the selected 5 years, the largest month-end decline was -22.2%, from a high in 2021.12 to a low in 2022.09. It regained the old high 22 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