O.P.T.R.A. Portfolio

Portfolio Specification

Portfolio Description

“One Portfolio To Rule (them) All” is a concept created by Frank Vasquez at Risk Parity Radio. It aims to confirm with all of his espoused principles, namely:

  • The holy grail principle: Always be maximally diversified

  • The macro allocation principle: Make sure the big picture allocations make sense at the asset class level

  • The simplicity principle: Don’t add unnecessary complexity

Policy Report

Backtest Report

From to (2y 8m 25d)

Returns (annualized)

Portfolio 16.06%
Benchmark 13.19%

Risk (annualized)

Portfolio 14.00%
Benchmark 11.71%

Sharpe (annualized)

Portfolio 0.81
Benchmark 0.73

Excess Return (annualized)

2.87%

Tracking Error (annualized)

6.21%

Information Ratio

0.46
Statistic Portfolio Benchmark
Downside Volatility 14.76% 12.05%
Sortino Ratio 0.77 0.71
Calmar Ratio 0.81 0.65
Ulcer Index 15.44 15.61
Max Drawdown 14.05% 13.22%
VaR (99% Confidence) $-3,254 $-2,722
VaR (99.9% Confidence) $-4,322 $-3,616
Beta to Benchmark 1.07 N/A

Value at Risk (VaR) is calculated off a $10,000 portfolio value.

Growth Charts

Historical Weights

Return Distribution

Excess Kurtosis

4.34

Skew

-0.11
Data Table
Factor Coefficients
Factor Portfolio Benchmark Excess
Duration Factor 0.8283 0.1660 0.6623
Inflation Factor 0.3115 0.0113 0.3002
Market Factor 0.8147 0.8043 0.0104
Size Factor 0.0652 0.0039 0.0613
Style Factor 0.0345 -0.0018 0.0364
U.S. Tilt (Non U.S.) -0.0009 -0.0017 0.0009
Yield Curve Factor 0.2008 0.0067 0.1941

Adjusted R2

Portfolio 0.90
Benchmark 1.00

Intercept

Portfolio -0.00
Benchmark 0.00

Factor Attribution