Given the new social features, I’ve made some oven-ready pies, which can be found below, that are based on famous portfolio allocations.
While it’s partly a shameless attempt to get a few free shares, I firmly believe most investors would be best served by taking a low cost, passive approach, so I’d like to encourage that.
In terms of methodology, I’ve tried to stick to the original allocations wherever possible and I’ve primarily picked ETFs with the lowest costs. For tax purposes, I’ve tried to preclude ETFs without UK reporting status or those domiciled in France. The ‘total cost’ is weighted based on allocation.
Some other considerations: UK investors may want to opt for gilts or a currency hedged global bond ETF over US treasuries. Likewise, you could pick ETFs denominated in different currencies or add a home bias by swapping out US equity. The money market ETF in the ‘Permanent Portfolio’ could also be replaced with another currency or even a high-interest savings account.
A few acknowledgements: most of the research was done on justETF–an incredible resource–the wonderful Monevator blog provided a lot of the background information, and this markdown table convertor saved me an awful lot of time.
Feel free to comment on and share the pies. Also, please point out any errors and make suggestions. Hopefully, somebody will find the recipes useful. If so, I may add more in future.
Important: These pies are intended as a starting point and guide only; please do your own research and do not blindly copy.
Core Four
Rick Ferri’s ‘Core Four’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 36% | SPXP | 0.05% |
| Developed world | 18% | SWLD | 0.12% |
| Property | 6% | IWDP | 0.59% |
| US bonds | 40% | VUTY | 0.07% |
| Total cost | 0.10% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OLcUcUXaN7
Warren Buffett
The Oracle of Omaha’s ‘90/10’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 90% | SPXP | 0.05% |
| Short-term US bonds | 10% | TRE3 | 0.06% |
| Total cost | 0.05% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMskbSwjwB
Second Grader
Allan Roth’s ‘Second Grader’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 60% | SPXP | 0.05% |
| Developed world | 30% | SWLD | 0.12% |
| US bonds | 10% | VUTY | 0.07% |
| Total cost | 0.07% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4ySi3b4tH3j
Golden Butterfly
The ‘Golden Butterfly’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 20% | SPXP | 0.05% |
| US small-cap value | 20% | USSC | 0.30% |
| Long-term US bonds | 20% | IDTL | 0.07% |
| Short-term US bonds | 20% | TRE3 | 0.06% |
| Gold | 20% | SGLP | 0.15% |
| Total cost | 0.13% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMsE0guegh
All Weather
Ray Dalio’s ‘All Weather’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| Developed world | 30% | SWLD | 0.12% |
| Long-term US bonds | 40% | IDTL | 0.07% |
| US bonds | 15% | VUTY | 0.07% |
| Commodities | 7.5% | CMOD | 0.19% |
| Gold | 7.5% | SGLP | 0.15% |
| Total cost | 0.10% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMsWUmdvdo
Ivy League
David Swensen’s ‘Ivy League’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 30% | SPXP | 0.05% |
| Developed world | 15% | SWLD | 0.12% |
| Emerging markets | 5% | EMIM | 0.18% |
| Property | 20% | IWDP | 0.59% |
| US bonds | 15% | VUTY | 0.07% |
| Index-linked US bonds | 15% | TIPG | 0.09% |
| Total cost | 0.18% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMsXd05d8m
Coffeehouse
Bill Schultheis’ ‘Coffeehouse’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 10% | SPXP | 0.05% |
| Developed world | 15% | SWLD | 0.12% |
| Emerging markets | 5% | EMIM | 0.18% |
| Small caps | 10% | WSML | 0.35% |
| Value | 10% | VVAL | 0.23% |
| Property | 10% | IWDP | 0.59% |
| US bonds | 40% | VUTY | 0.07% |
| Total cost | 0.18% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMsXr7upca
In Real Life
Harry Markowitz’s ‘In Real Life’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| Global equity | 50% | VWRL | 0.22% |
| Global bonds | 50% | VAGP | 0.11% |
| Total cost | 0.17% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMtgIvq08w
No Brainer
William Bernstein’s ‘No Brainer’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 25% | SPXP | 0.05% |
| Developed world | 25% | SWLD | 0.12% |
| Small caps | 25% | WSML | 0.35% |
| US bonds | 25% | VUTY | 0.07% |
| Total cost | 0.15% |
Pie link: http://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMtzCHYcvR
Six Ways from Sunday
Scott Burns’ Six Ways from Sunday Portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 17% | SPXP | 0.05% |
| Developed world | 16.6% | SWLD | 0.12% |
| Property | 16.6% | IWDP | 0.59% |
| Energy | 16.6% | INRG | 0.65% |
| US bonds | 16.6% | VUTY | 0.07% |
| Index-linked US bonds | 16.6% | TIPG | 0.09% |
| Total cost | 0.26% |
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMtzVpeyig
Permanent
Harry Browne’s ‘Permanent’ portfolio
| Asset Class | Allocation | Security | Cost |
|---|---|---|---|
| US equity | 25% | SPXP | 0.05% |
| Long-term US bonds | 25% | IDTL | 0.07% |
| Gold | 25% | SGLP | 0.15% |
| Cash | 25% | XSTR* | 0.15% |
| Total cost | 0.10% |
*XUSD not yet fractional
Pie link: https://www.trading212.com/pies/l71cYVmcH3cSSryrM4OMtgpLTYb0
