Ivy Portfolio

The Ivy portfolio is described by Mebane Faber in the book The Ivy Portfolio, which details the investing strategies of the Harvard and Yale endowments.  Faber also encourages momentum timing strategies within these assets, but for direct comparison all charts here show simple annual rebalancing just like all of the other portfolios.

 

ivy-portfolio

Asset Allocation

Stocks

Domestic

  • 20% Total Stock Market

International

  • 20% World Total Stock Market ¹

Bonds

  • 20% Intermediate Term Bonds

Real Assets

  • 20% Commodities
  • 20% REITs ²

 

Notes

1) The calculations assume that US investors use a World Ex-US fund while investors living in other countries use a World fund including the US.

2) The data is based on USA REITs, but a broad global REIT fund is also a reasonably close alternative if no US fund is available.