Asset Allocation Wizard

Example allocations for five risk levels and an indicative 10-year compounded path. General information, not a recommendation for you.

Example allocations by risk level

General information only. These are textbook examples for each risk level, not a recommendation for you. They do not take your goals, finances or needs into account. Consider speaking with a licensed financial adviser before you invest.

Which band do your answers fall in? · 0/6

1. What is your investment horizon?

2. Imagine your portfolio drops 25% in a year. What would you do?

3. How would you rate your investing knowledge?

4. What share of your liquid net worth is going into this portfolio?

5. Which return / risk profile is most attractive?

6. Will you need any of this money in the next 12 months?

Pick a risk level above to see an example allocation, or answer the six questions to see which band your answers fall in.

Asset allocation - how you split money across stocks, bonds, cash, and alternatives - explains the vast majority of portfolio variation. Studies suggest 80-90% of long-run return variation comes from allocation, not stock-picking. This wizard surveys your goals, horizon, and risk tolerance, then suggests a model portfolio plus a 10-year backtest.

Every Lab is grounded in standard textbook math (Bodie / Kane / Marcus, Fabozzi, Tandelilin). Read the full methodology in the How It Works panel above.