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70/30 Portfolio

Apr 10, 2007 – Sep 23, 2026, Rebalanced annually

Backtest it
70/30S&P 500
Final balance$51,697$75,807
CAGR8.81%10.97%
Max drawdown−39.74%−55.19%
Sharpe ratio0.690.63

Allocation

  • VTIUS total stock market70%
  • BNDUS total bond market30%

Loading the growth chart…

Growth of $10,000

  • 70/30
  • S&P 500

Metrics

Return70/30S&P 500
Final balance$51,697$75,807
Total return416.97%658.07%
CAGR8.81%10.97%
Calendar years70/30S&P 500
Best year24.12%32.31%
Worst year−23.83%−36.80%
Positive years15 of 1815 of 18
Risk70/30S&P 500
Max drawdown−39.74%−55.19%
Longest drawdown3.2 years4.9 years
Volatility (annualized)13.52%19.64%
Risk-adjusted70/30S&P 500
Sharpe ratio0.690.63
Sortino ratio0.980.89
Calmar ratio0.220.20

Worst drawdowns

DeclinePeakBottomRecovered
−39.7%Oct 2007Mar 2009Dec 2010
−25.1%Feb 2020Mar 2020Aug 2020
−22.5%Dec 2021Oct 2022Jan 2024
−14.2%Sep 2018Dec 2018Apr 2019
−13.4%Dec 2024Apr 2025Jun 2025

Annual returns

Year70/30S&P 500
2007*+3.23%+2.57%
2008−23.83%−36.80%
2009+21.32%+26.35%
2010+14.06%+15.06%
2011+3.06%+1.89%
2012+12.40%+15.99%
2013+22.78%+32.31%
2014+10.53%+13.46%
2015+0.42%+1.23%
2016+9.73%+12.00%
2017+16.05%+21.71%
2018−3.63%−4.57%
2019+24.12%+31.22%
2020+17.07%+18.33%
2021+17.42%+28.73%
2022−17.60%−18.18%
2023+19.93%+26.18%
2024+17.08%+24.89%
2025+14.09%+17.72%
2026*+8.90%+13.47%

* Partial year

About the 70/30 Portfolio

The 70/30 portfolio holds 70% stocks and 30% bonds, between the 60/40 and the 80/20.

Compared with the 60/40, the extra stocks usually mean more growth over long periods, and deeper drops along the way.

The 70/30 Portfolio returned 8.8% a year from Apr 2007 to Sep 2026, against 11.0% for the S&P 500. Its biggest drop was 39.7%, against 55.2% for the S&P 500. It took 3.2 years to recover. It beat the S&P 500 in 4 of 18 full years.

Uses daily closing prices with dividends reinvested. Fund fees are included, but not taxes or trading costs. The backtest starts on Apr 10, 2007, the first day both funds have prices. The S&P 500 is SPY.

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