A Diversified Portfolio is the Best Portfolio: Portfolio Percentages Nobody Tells You About

Let’s get this outta the way first: A diversified portfolio is the best portfolio. People DM me all the time like, “Hey, my entire portfolio is AAPL and NVDA! Is that diversified?” LOL … no.

Now look if you’re 25 years old, you PROBABLY don’t need a defensive heavy portfolio (defensive not like, war, but the opposite of cyclical - defensive = stuff we use ALL the time, no matter what AKA: consumer staples). You probably don’t need 60% of your portfolio to be in XLP, a consumer staple ETF, if you’re 10+ years away from retirement.

Staples are slow and steady: think Pepsi, P&G, Costco. People buy toothpaste and chips even in a recession. They aren’t sexy. They aren’t massive wealth builders like NVDA or AAPL or META have been.

BUT. It wouldn’t HURT your shit to have a little exposure to a diversified portfolio at any age. Just think of it like a sliding scale.

20s–30s: 60–70% growth/tech, 20–30% S&P 500, 10% staples.

40s: 40–50% growth/tech, 30–40% S&P 500, 20% staples.

50s–60s: 10–20% growth/tech, 30–40% S&P 500, 40–60% staples.

The percentages are 100% up to YOU. I don’t know you, your age, or your financial situation/life goals/time till retirement, etc.

But an EXAMPLE would be something like 60% FTEC, 30% S&P 500, 10% consumer staples if you’re on the younger side and 60% staples, 30% S&P 500, 10% growth/tech if you’re older. And BTW: Growth doesn’t HAVE to be 100% technology, other businesses can fit in the growth category, like Chipotle for example, or Tesla or Rivian (even though many consider Tesla a tech company). A good growth focused ETF that is NOT 100% tech like FTEC would be something like SCHG or QQQM.

Here are some ETFs to research:

Technology or Growth: FTEC/VGT/XLK or SCHG/QQQM

Broad Market: SPLG, VOO, SPY (they’re all the same, you only need one), or VTI

Utilities: IDU/VPU

Consumer Staples: XLP/VDC/

Dividend (will hold lots of utilities/staples): SCHD/SPHD/SPYD