Performance of Model Portfolios

Performance numbers presented for Risk-Managed and Blended Models are the actual returns after all fees and commissions on specific accounts that track those models. Results are updated periodically. See the Disclosures page for additional information.

Risk-Managed (Multi-Strategy) Models

Model 2017  2016  2015  2014 2013
Aggressive 9.31% 7.39% -8.62% 8.39% 22.91%
Moderate 7.53% 6.36% -4.60% 6.60% 12.20%
Conservative 6.42% 5.70% -3.20% 5.87% 5.88%

 

Blended Active/Passive Models (2016 Inception)

Model 2017  2016 
Moderate 9.41% 6.72%
Conservative 9.23% 2.32%

 

Passive/Indexing Models (Betterment, Vanguard Model)

Model 2017  2016  2015  2014
Aggressive (90/10) 19.67% 7.79% -1.84% 4.55%
Balanced (70/30) 15.58% 6.66% -1.37% 5.01%
Moderate (50/50) 11.62% 5.45% -1.03% 5,41%
Conservative (30/70) 7.77% 4.14% -0.78% 5.75%

The Betterment portfolio historical performance numbers are based on a backtest of the ETFs and target allocations in the Vanguard ETF strategic model portfolios as of September 2017. All percentage returns include the Betterment fee (0.25%), the maximum Auxan fee (0.75%) and the expenses of the underlying ETFs.  The backtested portfolio includes reinvestment of dividends.  Betterment does offer tax-loss harvesting, which is not factored into these returns.  We exclusively use this Vanguard model for IRA accounts, so leaving out tax-loss harvesting is more appropriate.  Other strategies through Betterment are available for non-retirement accounts and fixed-income strategies, but not enough information is available to produce an accurate backtest.  More information on these other strategies can be found here.  Historical data for the relevant ETFs was obtained from Yahoo Finance.