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Buffett 90/10

Growth Risk
Featured
MC fragile

Warren Buffett's passive benchmark: 90% low-cost S&P 500 index fund and 10% short-term government bonds. He recommended this in his 2013 shareholder letter as instructions for managing his wife's inheritance.

6
Diversification

Diversification

6

Volatility Profile

9.9%

5-year backtest

Horizon

10+ years

Live House Account

Forward performance on a virtual $1,000 autopilot account since 8/2/2026.

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Account value

$1,024.53

As of Aug 7, 2026 UTC

Total return

Cumulative since activation

+2.45%

Today's return

Since midnight UTC

-0.33%

Tracking days

6

Total Return History

Cumulative return since activation — the same metric as the Total Return card above. A rising line means recovery over time; it does not mean today's return is positive.

Buffett 90/10

Hover a date for cumulative and that day's return. For today's move, see Today's Return in the summary.

Historical Performance

5.0-year daily MA200 → SHY trend filter at stated weights (Yahoo Finance, 2 holdings, as of 2026-08-06). Research only — not a forecast or live track record.

Monte Carlo block-bootstrap P5 Sharpe is below 1.0 on 5-year daily returns — demo track record only; paper and live trading are not available.

Annualized Return

+12.4%

5-year backtest

Volatility

9.9%

annualized

Sharpe Ratio

1.24

excess vs T-bills

Max Drawdown

-9.1%

backtested

Trading Logic

End-of-day signals only — no day trading. See full trading logic documentation.

Rebalance Schedule

Weekly (Mondays)

Drift > 5%

Min Holding

21 days

Before discretionary sells

Trend Filter

MA200 → SHY

Buy when MA stack aligned; exit to cash when broken

Risk Alerts

Defensive regime

VIX spike, DD halt — any business day

AI Rationale

Fixed 90% VOO / 10% SHY — faithful to the 2013 letter. A 200-day trend guard with 3-day entry confirmation steps equity to SHY when the S&P 500 loses structural support (Jul 2026 backtest: Sharpe ~1.18 vs ~0.78 buy-and-hold, max DD ~−9% vs ~−23%).

Bull Case

Ultra-low cost with trend overlay: backtest Sharpe ~1.18 vs ~0.78 buy-and-hold, max DD ~−9% vs ~−23%.

Bear Case

Monte Carlo block-bootstrap P5 Sharpe below 1.0. Trend exits can lag V-shaped recoveries.

Behavior During Downturns

When VOO falls below its 200-day average for three consecutive days, the equity sleeve rotates to SHY until trend recovers. The 10% bond sleeve remains as ballast.

Holdings

Fixed 90% VOO / 10% SHY (2013 letter benchmark) with MA200 + 3-day entry confirmation. Current allocation: VOO 90%, 10% SHY.

VOOVanguard S&P 500 ETF
90%
SHYiShares 1-3 Year Treasury ETF
10%
Research only. Not financial advice. For educational and informational purposes only. Past performance does not indicate future results.