Free Tool

Portfolio Optimizer

Build your optimal portfolio. Set your constraints, pick your method, see the math. Powered by J.P. Morgan 2026 Capital Market Assumptions.

Choose a Starting Point

Select Assets & Set Constraints

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No return target — optimizer is free to find the best risk-adjusted portfolio.

Equities

US Large Cap
6.7% ret · 16.5% vol
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US Small CapPremium
6.9% ret · 21.1% vol
Euro Area Large CapPremium
7.8% ret · 22.0% vol
UK Large CapPremium
6.6% ret · 17.5% vol
Japanese EquityPremium
8.8% ret · 15.8% vol
AC Asia ex-JapanPremium
7.9% ret · 20.8% vol
Emerging Markets EquityPremium
7.8% ret · 20.9% vol
Chinese Domestic EquityPremium
7.7% ret · 28.7% vol
Hong Kong EquityPremium
7.4% ret · 21.4% vol
EAFE EquityPremium
7.5% ret · 17.6% vol
AC World Equity
7.0% ret · 16.8% vol
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Fixed Income

US Intermediate TreasuriesPremium
4.0% ret · 3.5% vol
World Govt BondsPremium
4.3% ret · 7.3% vol
US IG Corporate BondsPremium
5.2% ret · 7.4% vol
US High Yield BondsPremium
6.1% ret · 8.7% vol
EM Sovereign DebtPremium
6.3% ret · 8.8% vol
EM Local Currency DebtPremium
6.7% ret · 12.1% vol
TIPS
4.3% ret · 5.9% vol
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US Aggregate Bonds
4.8% ret · 4.8% vol
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Alternatives

US REITs
8.8% ret · 17.4% vol
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Global InfrastructurePremium
6.5% ret · 10.3% vol
Commodities (Broad)Premium
4.6% ret · 18.3% vol
Gold
5.5% ret · 16.7% vol
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Diversified Hedge FundsPremium
5.3% ret · 5.8% vol
Private EquityPremium
10.2% ret · 19.8% vol
Bitcoin
15.0% ret · 42.5% vol
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Cash

Cash / Money Market
3.1% ret · 0.7% vol
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Unlock all 27 asset classes
Including private equity, hedge funds, EM debt, infrastructure, and more.

Choose Your Goal

Optimized Portfolio

Expected Return
5.9%
Volatility
6.0%
Sharpe Ratio
0.475
Est. Max Drawdown
-14.9%

Allocation

AssetWeightReturnVolConstrain
US Aggregate Bonds70.5%4.8%4.8%
–%
US REITs12.9%8.8%17.4%
–%
Cash / Money Market9.1%3.1%0.7%
–%
Bitcoin7.6%15.0%42.5%
–%

Set min/max constraints on any asset and the portfolio re-optimises automatically.

Method: Maximum Sharpe. Risk-free rate: 3.1% (US Cash, JPM LTCMA 2026). Max drawdown estimated as 2.5× annual volatility.

See where your portfolio sits on the efficient frontier

Visualise the full risk-return tradeoff across all feasible portfolios.

Methodology

Data source: Expected returns, volatilities, and correlations from J.P. Morgan 2026 Long-Term Capital Market Assumptions (30th edition, pages 82-83, USD matrix). Bitcoin assumptions are Portfolio Lab estimates (15% geometric return, 42.5% volatility) informed by institutional research. Read our methodology.

Max Sharpe: Grid search over target returns along the efficient frontier, solving for minimum variance at each target. Selects the portfolio with the highest Sharpe ratio.

Min Variance: Projected gradient descent with box constraints, minimising total portfolio variance (w'Σw).

Risk Parity: Equal Risk Contribution (ERC) via cyclical coordinate descent (Griveau-Billion et al., 2013). Each asset contributes equally to total portfolio risk.

HRP: Hierarchical Risk Parity (López de Prado, 2016). Single-linkage clustering on correlation distance, then recursive bisection weighted by inverse variance.

Black-Litterman: Implied equilibrium returns (π = δΣw) blended with investor views using Bayesian updating.

Constraints: Per-asset minimum and maximum weights. All weights must sum to 100%. No leverage or short-selling.

This tool uses forward-looking assumptions, not historical data. Past performance does not guarantee future results. Not financial advice. Consult a qualified adviser before making investment decisions.