What ETFs are used in this backtest?

VTI 48%, VXUS 24%, VNQ 8%, BND 20%, rebalanced annually.

REITs behave somewhat differently from broad stocks and bonds, adding a distinct return stream to the portfolio.

How has the Core Four performed?

Run the backtest above to see return, volatility, and drawdown. VXUS history begins in 2011, so earlier ranges are clamped.

Free portfolio backtest · 20+ years of data

Core Four portfolio backtest

Balancedby Rick Ferri

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

Rick Ferri's four-fund core: US and international stocks, real estate, and bonds.

Allocation (locked)

VTI · Vanguard Total Stock Market ETF48%
VXUS · Vanguard Total International Stock ETF24%
VNQ · Vanguard Real Estate ETF8%
BND · Vanguard Total Bond Market ETF20%

Want more than a famous preset? Log in to try our tool — test your own portfolio strategies and study your diversification with our correlation matrices.

Choose a famous portfolio

Start date

End date

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

Ready to backtest Core Four

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

About the Core Four strategy

Rick Ferri's Core Four builds on the three-fund idea by adding real estate as a fourth building block. It holds US stocks, international stocks, real estate, and bonds — broad coverage with one extra diversifier beyond the classic three-fund mix.

This backtest uses VTI (48%), VXUS (24%), VNQ (8%), and BND (20%), rebalanced annually. The equity-heavy tilt aims for growth, while the bond allocation provides ballast and REITs add a distinct return stream.

It suits investors who like the simplicity of a three-fund portfolio but want a dedicated real estate allocation alongside their core stock and bond holdings.

Unlock the full workspace

Go beyond the Core Four preset

This public tool runs the famous presets read-only. Log in to unlock the full Awalyt backtesting workspace:

Test your OWN portfolio
Change the assets and weights, run different rebalancing strategies, and compare scenarios — not just the famous presets.
Correlation & diversification analysis
See how your holdings actually move together and whether they truly diversify your risk, quarter by quarter.
AI insights, rebalancing detail & more
Get an AI read on your results, a full rebalance history, tax impact, and save every backtest to your account.

Create a free account

Frequently asked questions

Rick Ferri's four-fund portfolio of US stocks, international stocks, real estate, and bonds — the three-fund idea plus a REIT allocation.

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.