Glenn Cameron, CFA
·J.P. Morgan 2026 LTCMA

All-Weather (Dalio)

Ray Dalio's All-Weather portfolio balances risk across economic regimes: growth, recession, inflation, and deflation. It holds equities, long-term bonds, inflation-linked bonds, gold, and commodities.

Expected Return
5.06%
Volatility
7.41%
Sharpe Ratio
0.26

Allocation

30%
AC World Equity
15%
US Intermediate Treasuries
15%
World Govt Bonds
15%
TIPS
10%
Cash / Money Market
7.5%
Gold
7.5%
Commodities (Broad)

What if you add Bitcoin?

Adding Bitcoin changes the risk-return profile. Here is how different allocations compare, reducing other positions proportionally:

PortfolioReturnVolatilitySharpe
Base (All-Weather (Dalio))5.06%7.41%0.26
With 5% Bitcoin5.56%7.92%0.31
With 10% Bitcoin6.06%8.89%0.33

Returns are geometric (compound). Sharpe ratio uses 3.10% risk-free rate (US Cash, JPM LTCMA 2026). Forward-looking estimates, not predictions.

How these numbers are calculated

Expected returns and volatilities come from J.P. Morgan's 2026 Long-Term Capital Market Assumptions (30th edition). Portfolio risk is computed using the full 27x27 correlation matrix, not simple weighted averages. The Sharpe ratio uses 3.10% (US Cash) as the risk-free rate.

For full methodology details, see the methodology page.

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Adjust weights, add constraints, try different optimization methods.

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This is an educational analysis, not financial advice. Forward-looking estimates do not guarantee future results. Consult a qualified advisor before making investment decisions. Full disclaimer.