Risk and Reward Chart

A risk and reward chart allows you to visualize how combining asset classes together will affect a portfolio. Essentially, it combines two asset allocations in 5% intervals and displays the standard deviation and annualized return. An article explaing a risk and reward chart can be found here: Use of a Risk and Reward Chart

INSTRUCTIONS: The form below requires you to enter two different portfolios. In both of the portfolios you can add one asset class or many. For example you could enter 100 Total Bond Market (TBM) in the first portfolio, and 100 Total Stock Market (TSM) in the second portfolio. This would produce a graph that starts with 100% TBM and in 5% increments adds the TSM. This would allow you to visualize risk and reward profiles associated with various TBM and TSM allocations. The data used comes from these data sources and is from the years 1972-2008.

Asset Group 1

TOTAL:

Total US Market - LCB:

Large Cap Value - LCV:

Large Cap Blend - S&P 500:

Large Cap Growth - LCG:

Mid-Cap Blend - MCB:

Small Cap Value - SCV:

Small Cap Blend - SCB:

Small Cap Growth - SCG:

Micro Cap:

REIT:

International Developed - EAFE:

Emerging Market - EM:

Total International:

International Pacific:

International Europe:

International Value:

Commodities:

Long Term Goverment Bonds:

5 Year T-Bills:

Total Bond Market:

Money Market:

Synthetic TIPS:

2 Year ST Treasury:

Asset Group 2