Consolidated Returns as of 31 October 2024
Managing the Aim Ways Ulcer Free Strategy To EUR Bond Hedged Portfolio with a yearly rebalancing, you would have obtained a 7.84% compound annual return in the last 30 Years.
With a quarterly rebalancing, over the same period, the return would have been 6.50%.
How do returns and drawdowns change, implementing different rebalancing strategies?
Rebalancing Strategies
In order to keep risk under control, you should rebalance assets quotes from time to time, so to keep them at the original percentage of the asset allocation.
At fixed time intervals:
- Yearly: Jan 1st
- Half Yearly: Jan 1st, Jul 1st
- Quarterly: Jan 1st, Apr 1st, Jul 1st, Oct 1st
Portfolio Returns as of Oct 31, 2024
Implementing different rebalancing strategies, the Aim Ways Ulcer Free Strategy To EUR Bond Hedged Portfolio guaranteed the following returns.
Portfolio returns are calculated in EUR, assuming:
- No fees or capital gain taxes
- the reinvestment of dividends, if existing
- the adjustment for actual currency exchange rates (simulation derived from original US returns)
- the currency hedging (simulation taking into account the interest rate differentials of the countries). It is also assumed that hedged instruments have an additional expense ratio of 0.25% (yearly), compared to the US original instrument.
| Return (%) and number of rebalances as of Oct 31, 2024 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Rebalancing Strategy | 1Y | 5Y | 10Y | 30Y |
MAX (~31Y) |
|||||
| No Rebalancing | 26.19 | (0) | 10.56 | (0) | 8.75 | (0) | 7.84 | (0) | 7.28 | (0) |
| Yearly Rebalancing | 15.39 | (1) | 3.60 | (5) | 4.06 | (10) | 6.75 | (30) | 6.23 | (31) |
| Half Yearly Rebalancing | 14.98 | (2) | 3.42 | (10) | 4.01 | (20) | 6.50 | (60) | 5.99 | (62) |
| Quarterly Rebalancing | 14.81 | (4) | 3.35 | (20) | 3.98 | (40) | 6.56 | (120) | 6.04 | (124) |
| 5% Tolerance per asset | 15.50 | (1) | 3.77 | (2) | 4.26 | (4) | 6.73 | (13) | 6.21 | (13) |
| 10% Tolerance per asset | 17.39 | (0) | 4.55 | (1) | 4.78 | (2) | 7.06 | (5) | 6.53 | (5) |
In order to have complete information about the portfolio, please refer to the Aim Ways Ulcer Free Strategy To EUR Bond Hedged Portfolio: ETF allocation and returns page.
Performances as of Oct 31, 2024
Historical returns and stats of Aim Ways Ulcer Free Strategy To EUR Bond Hedged Portfolio, after implementing different rebalancing strategies.
|
Standard Deviation
|
Max Drawdown (%)
|
|||||
|---|---|---|---|---|---|---|
| Rebalancing Strategy | Return % | Std Dev(%) | Ret. / Std Dev | MaxDD(%) | Ret. / MaxDD | |
| No Rebalancing | 7.28 | (0) | 9.17 | 0.79 | -37.17 | 0.20 |
| Yearly Rebalancing | 6.23 | (31) | 5.45 | 1.14 | -15.00 | 0.42 |
| Half Yearly Rebalancing | 5.99 | (62) | 5.34 | 1.12 | -15.08 | 0.40 |
| Quarterly Rebalancing | 6.04 | (124) | 5.35 | 1.13 | -15.20 | 0.40 |
| 5% Tolerance per asset | 6.21 | (13) | 5.43 | 1.14 | -15.24 | 0.41 |
| 10% Tolerance per asset | 6.53 | (5) | 5.66 | 1.15 | -15.25 | 0.43 |
Drawdowns as of Oct 31, 2024
Historical Drawdowns of Aim Ways Ulcer Free Strategy To EUR Bond Hedged Portfolio, after implementing different rebalancing strategies.
|
Rebalancing
|
Tolerance per asset
|
||||
|---|---|---|---|---|---|
| No Rebalancing | Yearly | Half Yearly | Quarterly | 5% | 10% |
|
-37.17
Sep 2000 - Apr 2010
|
-15.00
Jan 2022 - Sep 2024
|
-15.08
Sep 2021 - Sep 2024
|
-15.20
Sep 2021 - Sep 2024
|
-15.24
Jan 2022 - Sep 2024
|
-15.25
Jan 2022 - Jul 2024
|
|
-22.18
Jan 2022 - Jan 2024
|
-10.20
Feb 1994 - Aug 1995
|
-10.13
Feb 1994 - Aug 1995
|
-10.17
Feb 1994 - Aug 1995
|
-10.20
Feb 1994 - Aug 1995
|
-10.20
Feb 1994 - Aug 1995
|
|
-13.11
Apr 2000 - Aug 2000
|
-7.02
Sep 2000 - Apr 2003
|
-7.14
Mar 2008 - Mar 2009
|
-7.29
Mar 2008 - Mar 2009
|
-7.72
Mar 2008 - Apr 2009
|
-9.23
Sep 2000 - May 2003
|
|
-10.20
Feb 1994 - Aug 1995
|
-6.69
Mar 2008 - Jan 2009
|
-6.84
Sep 2000 - May 2003
|
-6.86
Sep 2000 - Nov 2002
|
-5.87
Sep 2000 - Jan 2003
|
-6.69
Mar 2008 - Dec 2008
|
|
-5.96
Sep 2018 - Mar 2019
|
-4.63
Apr 2000 - Aug 2000
|
-4.63
Apr 2000 - Aug 2000
|
-4.19
Apr 2013 - Jan 2014
|
-4.63
Apr 2000 - Aug 2000
|
-5.78
Apr 2000 - Aug 2000
|
| 5 Worst Drawdowns - Average | |||||
| -17.72 | -8.71 | -8.76 | -8.74 | -8.73 | -9.43 |
| 10 Worst Drawdowns - Average | |||||
| -11.15 | -6.13 | -6.08 | -6.06 | -6.03 | -6.33 |
For a deeper insight, please refer to the Aim Ways Ulcer Free Strategy To EUR Bond Hedged Portfolio: ETF allocation and returns page.
