Loading....
The Aim Ways Shield Strategy, created by Italian financial coach Carmine, also known as "Aim Ways", is all about protecting your investments from big market swings, especially in the U.S. It's a straightforward approach that mixes different types of assets to keep the portfolio steady and resilient, even when markets get rough.
The strategy blends assets like stocks for long-term growth, gold as a safe-haven during uncertain times, and intermediate term U.S. Treasuries for stability. The goal is simple: reduce risk, smooth out volatility, and help your investments weather market storms.
Carmine’s years of experience in finance have led him to focus on relationship-based financial coaching, and the Shield Strategy reflects that. It’s about giving you a well-rounded, easy-to-manage approach to investing that prioritizes long-term growth and security.
The backtesting period is limited by the inception date of MSCI USA Minimum Volatility (USMINVOL.X): May 31, 1988.
A quick overview of the assets within the portfolio, its performance and main metrics.
The portfolio consists of 6 asset classes.
| Name / Ticker | Type | Currency | Inception | Weight |
|---|---|---|---|---|
S&P 500 (US Large Cap) SP500.X | Asset Class | USD | Jan 31, 1871 | 21% |
Nasdaq-100 NASDAQ.X | Asset Class | USD | Feb 5, 1971 | 16% |
MSCI USA Minimum Volatility USMINVOL.X | Asset Class | USD | May 31, 1988 | 5% |
US Corporate Bonds CORPBONDS.X | Asset Class | USD | Dec 30, 1870 | 22% |
Intermediate-Term Treasury MTTREASURY.X | Asset Class | USD | Dec 30, 1870 | 16% |
Gold GOLD.X | Asset Class | USD | Dec 30, 1791 | 20% |
The backtest spans over a period of 37 years. With an annual return of 9.19% for Aim Ways Shield Strategy, the cumulative return over that period amounts to 2373%.
| Portfolio Score | Aim Ways Shield Strategy |
|---|---|
| Portfolio Score |
| Returns | Aim Ways Shield Strategy |
|---|---|
| Month-to-Date | 1.12% |
| Year-to-Date | 16.5% |
| 3M | 3.08% |
| 6M | 8.23% |
| Annualized Return (3Y) | 6.02% |
| Annualized Return (5Y) | 10.15% |
| Annualized Return (10Y) | 8.86% |
| Annualized Return (20Y) | 8.71% |
| Annualized Return (All, 36.5Y) | 9.19% |
| Risk | Aim Ways Shield Strategy |
|---|---|
| Annual Volatility | 8.54% |
| Max Drawdown | -23.8% |
| Sharpe Ratio | 1.07 |
| Sortino Ratio | 1.55 |
| Adjusted Sortino Ratio | 1.1 |
With a projected annual return (CAGR) of 9.19% and an initial investment of $10,000, Aim Ways Shield Strategy would have the following projected capital growth over the next 50 years.
| Year | Starting Capital | Ending Capital | Total Gain | Avg Monthly Gain | Cumulative Return |
|---|---|---|---|---|---|
| $10,000 | $10,919 | $919 | $77 | 9.2% | |
| 5 | $15,521 | $16,947 | $1,426 | $119 | 69.5% |
| 10 | $24,090 | $26,303 | $2,214 | $184 | 163% |
| 15 | $37,389 | $40,825 | $3,436 | $286 | 308% |
| 20 | $58,031 | $63,364 | $5,333 | $444 | 534% |
| 50 | $811,229 | $885,781 | $74,552 | $6,213 | 8,758% |
A detailed look at the returns of the portfolio.
| Portfolio | All (36.5Y) | 20Y | 10Y | 5Y | 3Y | 1Y |
|---|---|---|---|---|---|---|
| Aim Ways Shield Strategy | 9.19% | 8.71% | 8.86% | 10.15% | 6.02% | 22.14% |
| Year | Aim Ways Shield Strategy |
|---|---|
| 1988 | 1.46% |
| 1989 | 17.45% |
| 1990 | 0.23% |
| 1991 | 23.19% |
| 1992 | 5.49% |
| 1993 | 11.64% |
| 1994 | -1.73% |
| 1995 | 25.01% |
| 1996 | 12.32% |
| 1997 | 11.21% |
| Portfolio | Positive Years | Negative Years | Positive Ratio | Best Return Years | Worst Return Years |
| Aim Ways Shield Strategy | 29 | 8 | 78.38% | 37 | 37 |
Let's analyze how much risk the portfoliohas.
A drawdown represents the period of decline an investor experiences between a portfolio's peak (new high) and its subsequent low, also known as the valley (before it begins to recover). The table below highlights the five largest drawdowns encountered by the portfolio.
| Drawdown period | Recovery period | Total | |||||
|---|---|---|---|---|---|---|---|
| Max drawdown | Start | Valley | # Months | End | # Months | # Months | Chart |
| -23.8% | 2008-05-21 | 2008-11-20 | 6 | 2009-10-07 | 11 | 17 | |
| -20.47% | 2021-12-28 | 2022-10-14 | 10 | 2023-12-13 | 14 | 24 | |
| -19.71% | 2000-03-27 | 2002-08-05 | 28 | 2003-10-31 | 15 | 43 | |
| -17.78% | 2020-02-20 | 2020-03-20 | 1 | 2020-06-01 | 2 | 3 | |
| -9.67% | 1998-07-21 | 1998-08-31 | 1 | 1998-11-06 | 2 | 4 | |
| -9.27% | 1990-07-17 | 1990-10-16 | 3 | 1991-01-30 | 3 | 6 | |
| -8.32% | 2018-01-29 | 2018-12-24 | 11 | 2019-02-15 | 2 | 13 | |
| -8.06% | 2006-05-11 | 2006-06-13 | 1 | 2006-11-01 | 5 | 6 | |
| -6.41% | 2015-04-29 | 2015-08-25 | 4 | 2016-03-11 | 7 | 10 | |
| -6.27% | 1997-10-08 | 1997-10-27 | 1 | 1998-02-03 | 3 | 4 | |
Aim Ways Shield Strategy took approximately 20 months on average to recover from major drawdowns of 20% or more. The largest drawdown reached -23.8% and the longest drawdown period lasted 43 months.