True diversification
The number of ETFs alone does not determine diversification. Different funds may hold many of the same companies or share similar market exposures.
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ETFs
Portfolios built around ETFs to diversify efficiently across markets, sectors and asset classes.
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Portfolios
Portfolios
0Understanding ETF portfolios
Why use ETFs in an investment portfolio?
ETFs provide exposure to a basket of stocks, bonds or other assets through a single listed instrument. They are commonly used to build diversified allocations while keeping portfolio construction relatively simple.
On Teryso, ETF portfolios can follow very different approaches, including global equity exposure, US indices, sector funds, bonds or combinations of several asset classes.
Comparing these portfolios helps reveal how ETFs are combined, how concentrated the allocation is and how each strategy has behaved through different market environments.
How to analyse an ETF portfolio
A portfolio made of ETFs can be broadly diversified or highly concentrated. Several factors help explain its construction.
Geographic exposure
An allocation may focus on the United States, Europe, emerging markets or a global mix. Geographic exposure can materially affect portfolio behaviour.
Asset-class allocation
The balance between equities, bonds, commodities and cash helps indicate how risk is distributed across different return drivers.
Performance and volatility
Historical performance, drawdowns and periods of decline provide more context than a cumulative return viewed on its own.
FAQ
Frequently asked questions about ETF portfolios
What is an ETF portfolio?
An ETF portfolio is an allocation mainly composed of exchange-traded funds that typically track an index, sector, region or asset class.
Is an ETF portfolio automatically diversified?
No. Diversification depends on the underlying indices and holdings. Several ETFs can still create substantial overlap.
Can ETF portfolios be compared on Teryso?
Yes. Teryso can be used to review allocation, major holdings, performance and historical evolution of public portfolios.
Are the ETF portfolios shown investment recommendations?
No. Public portfolios are shared for information, tracking and comparison purposes and do not constitute personalised investment advice.