Aim Ways Ulcer Free Strategy To EUR Portfolio: Rebalancing Strategy

Data Source: from January 1994 to September 2024
Consolidated Returns as of 30 September 2024

Managing the Aim Ways Ulcer Free Strategy To EUR Portfolio with a yearly rebalancing, you would have obtained a 8.06% compound annual return in the last 30 Years.

With a quarterly rebalancing, over the same period, the return would have been 6.85%.

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.

Rebalancing can be performed in several ways.

At fixed time intervals:
  • Yearly: Jan 1st
  • Half Yearly: Jan 1st, Jul 1st
  • Quarterly: Jan 1st, Apr 1st, Jul 1st, Oct 1st
When a component (at least one) diverges from its original weight beyond a certain threshold (e.g. 5% or 10%).

Portfolio Returns as of Sep 30, 2024

Implementing different rebalancing strategies, the Aim Ways Ulcer Free Strategy To EUR Portfolio guaranteed the following returns.

According to the available data source, we assume we built the portfolio on January 1994.

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)
AIM WAYS ULCER FREE STRATEGY TO EUR PORTFOLIO RETURNS
Period: January 1994 - September 2024
Annualized Returns
Swipe left to see all data
Return (%) and number of rebalances as of Sep 30, 2024
Rebalancing Strategy 1Y 5Y 10Y 30Y MAX
(~31Y)
No Rebalancing 20.30 (0) 10.47 (0) 9.91 (0) 8.06 (0) 7.35 (0)
Yearly Rebalancing 12.30 (1) 4.20 (5) 5.72 (10) 7.07 (30) 6.40 (31)
Half Yearly Rebalancing 12.08 (2) 4.06 (10) 5.70 (20) 6.85 (60) 6.18 (62)
Quarterly Rebalancing 11.94 (4) 4.02 (20) 5.67 (40) 6.88 (120) 6.22 (123)
5% Tolerance per asset 12.40 (1) 4.21 (2) 5.78 (3) 7.08 (13) 6.41 (13)
10% Tolerance per asset 13.19 (0) 4.79 (1) 6.27 (2) 7.27 (5) 6.59 (5)

In order to have complete information about the portfolio, please refer to the Aim Ways Ulcer Free Strategy To EUR Portfolio: ETF allocation and returns page.

Performances as of Sep 30, 2024

Historical returns and stats of Aim Ways Ulcer Free Strategy To EUR Portfolio, after implementing different rebalancing strategies.

AIM WAYS ULCER FREE STRATEGY TO EUR PORTFOLIO PERFORMANCES
Period: January 1994 - September 2024
Swipe left to see all data
Standard Deviation
Max Drawdown (%)
Rebalancing Strategy Return % Std Dev(%) Ret. / Std Dev MaxDD(%) Ret. / MaxDD
No Rebalancing 7.35 (0) 10.87 0.68 -40.39 0.18
Yearly Rebalancing 6.40 (31) 8.10 0.79 -17.95 0.36
Half Yearly Rebalancing 6.18 (62) 8.04 0.77 -17.86 0.35
Quarterly Rebalancing 6.22 (123) 8.06 0.77 -17.91 0.35
5% Tolerance per asset 6.41 (13) 8.10 0.79 -17.92 0.36
10% Tolerance per asset 6.59 (5) 8.25 0.80 -17.92 0.37
(*) Since Jan 1994 (~31 yrs) | Annualized Returns (and number of rebalances)

Drawdowns as of Sep 30, 2024

Historical Drawdowns of Aim Ways Ulcer Free Strategy To EUR Portfolio, after implementing different rebalancing strategies.

AIM WAYS ULCER FREE STRATEGY TO EUR PORTFOLIO DRAWDOWNS
Period: January 1994 - September 2024
Swipe left to see all data
Rebalancing
Tolerance per asset
No Rebalancing Yearly Half Yearly Quarterly 5% 10%
-40.39
Sep 2000 - May 2012
-17.95
Feb 1994 - Jan 1996
-17.86
Feb 1994 - Jan 1996
-17.91
Feb 1994 - Jan 1996
-17.92
Feb 1994 - Jan 1996
-17.92
Feb 1994 - Jan 1996
-19.94
Jan 2022 - Dec 2023
-16.08
Nov 2000 - Oct 2008
-16.92
Nov 2000 - Nov 2008
-15.09
Nov 2000 - Feb 2006
-15.64
Nov 2000 - Oct 2008
-17.10
Sep 2000 - Oct 2008
-17.92
Feb 1994 - Jan 1996
-11.52
Dec 2021 - Jun 2024
-11.58
Dec 2021 - Jun 2024
-11.64
Dec 2021 - Jun 2024
-12.54
Dec 2021 - Jun 2024
-11.65
Dec 2021 - Jun 2024
-11.88
Apr 2000 - Aug 2000
-8.42
Aug 2012 - Aug 2014
-8.96
Aug 2012 - Aug 2014
-9.10
Aug 2012 - Aug 2014
-8.95
Aug 2012 - Aug 2014
-8.95
Aug 2012 - Aug 2014
-7.65
Aug 2012 - Jul 2014
-8.16
Sep 2010 - Sep 2011
-8.15
Sep 2010 - Sep 2011
-8.13
Mar 2017 - Feb 2019
-8.07
Sep 2010 - Sep 2011
-8.07
Sep 2010 - Sep 2011
5 Worst Drawdowns - Average
-19.55 -12.42 -12.69 -12.37 -12.62 -12.74
10 Worst Drawdowns - Average
-12.88 -9.22 -9.31 -9.38 -9.25 -9.45

For a deeper insight, please refer to the Aim Ways Ulcer Free Strategy To EUR Portfolio: ETF allocation and returns page.