The Cockpit · Model Portfolios

The seven model portfolios

Seven classic strategies, from low risk and low return to an ambitious, volatile profile, with blended approaches in between. Each is passive and deliberately neutral, and none is a recommendation. They are reference instruments: instead of judging your portfolio against a blank page, you can set it beside these models and ask whether yours does better or worse, and at what cost in risk. The seven make the trade-off plain, since higher returns have come with deeper drawdowns and higher volatility. The graph, statistics and compositions below let you see for yourself.

Construction is rule-based and consistent. Equities carry a home bias sized to the investor: the US models hold about two-thirds domestic and one-third rest-of-world, while the euro and franc models hold 40% domestic and 60% rest-of-world (50% global developed, 10% emerging). Fixed income leans more heavily home: 80% home-currency bonds in the euro and franc models, and a predominantly domestic sleeve in the US models. Gold, real estate, commodities and cash are each held through the nearest home-currency instrument.

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