What ETFs are used in this 60/40 backtest?

SPY for the 60% equity allocation and AGG for the 40% bond allocation, rebalanced annually.

How has the 60/40 portfolio performed historically?

Run the backtest above to see its growth, annualized return, and maximum drawdown over your chosen period.

Why did the 60/40 struggle in 2022?

Stocks and bonds fell at the same time that year, so the bond side did not offset the stock losses as it usually does.

Free portfolio backtest · 20+ years of data

60/40 portfolio backtest

Balanced

See how $10,000 in the 60/40 portfolio would have grown — real, dividend-adjusted history, rebalanced yearly. No signup.

The classic balanced portfolio: 60% US stocks, 40% US bonds.

Allocation (locked)

SPY · SPDR S&P 500 ETF Trust60%
AGG · iShares Core U.S. Aggregate Bond ETF40%

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End date

Defaults to the last 10 years. Clean, fee-free backtest with annual rebalancing.

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Pick a date range above (or use the last 10 years) and hit Run backtest.

About the 60/40 strategy

The 60/40 portfolio is the most recognized asset allocation in investing: 60% stocks for growth, 40% bonds for stability. Stocks drive long-term returns; bonds cushion the drawdowns that push many investors to sell at the wrong time.

This backtest uses SPY for the equity side and AGG for bonds, rebalanced annually. Rebalancing keeps the mix from drifting — after a strong stock year it trims equities and adds bonds to return to 60/40.

The 60/40 suits investors who want meaningful growth without the full swings of an all-stock portfolio. Its main stress test came in 2022, when stocks and bonds fell together, a reminder that a two-asset mix has limits.

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Frequently asked questions

A balanced allocation of 60% stocks and 40% bonds, built to capture most of the market's growth while using bonds to reduce volatility and drawdowns.

For educational and informational purposes only. Backtests use split- and dividend-adjusted historical prices with annual rebalancing and no fees, taxes, or slippage; real-world results differ. Past performance is not indicative of future results. Awalyt does not provide investment advice.