HoldingsiShares Core S&P 500 ETF, iShares Core Total USD Bond Market, and more
Every house needs a solid foundation. And the Moderate Mix may be a great place to start building the foundation of your portfolio.
On Stash, your Mix can function as a building block for the rest of your investments. That’s because it attempts to balance stocks and bonds in one fund.
Moderate Mix is adjusted to suit the moderate risk-level Stash investor. Just over half of the fund investments are in bonds (fixed income), while a little over 40% is in stocks (equities).
Moderate Mix: Moderate risk, lots of diversification
Not too hot, not too cold. Moderate Mix is essentially balancing the relative stability of bonds with the potential riskiness of stocks.
Bonds are generally considered safer investments, because they are debt backed by a promise to pay, with interest, from many reputable companies or governments that issue them. And while bonds don’t typically have returns that are as high as some other types of investments, what they do earn can be significantly better than just leaving your cash in a bank account, or stuffed into your mattress.
The fund can also help you diversify.
Although nearly two thirds of the companies that Moderate Mix invests in are based in the U.S., the fund gives you exposure to companies in other geographic regions, specifically Europe, Asia, and Australia.
What’s inside the fund?
The Moderate Mix fund is an exchange-traded fund (ETF). Basically, it’s a fund that invests in other funds and may track an index.
The Moderate Mix fund contains 8 main holdings. These holdings are, in turn, funds that own shares in literally thousands of company stocks, or bonds issued either by the U.S. government, or prominent companies that issue debt.
Moderate Mix offers exposure to U.S. Treasury notes, mortgages from Fannie Mae and Freddie Mac, the federal mortgage companies, and bonds issued by AT&T, the telecommunications company. It also includes shares of hundreds of the largest U.S. corporations, such as Apple, Berkshire Hathaway, and Microsoft. There are also international holdings. Moderate Mix contains stocks in some of the most prominent Eurozone companies including the conglomerate Nestle Corp., Swiss drug maker Novartis, and financial services company HSBC Holdings, of China.
Moderate Mix is based on the iShares Core Moderate Allocation fund. It trades under the ticker symbol AOM.
- Moderate Mix may be an ideal foundation fund for moderate-risk Stash investors.
- Moderate Mix offers access to both stocks and bonds.
- This fund also provides global diversification, by investing in international companies
Source: Tradeview. Chart operates in real time, with delays. ***See Footnote
*Indices are unmanaged and investors cannot invest directly in an index
**The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is a market value weighted index with each stock’s weight in the index proportionate to its market value.
***Charting platform used for this analysis is provided by TradingView and may be delayed. Stash does not verify any data and disclaims any obligation to do so. Stash cannot and does not represent or guarantee that any of the information available via TradingView is accurate, reliable, current, complete or appropriate for your needs.
Note: These are just a few of the investment choices available on Stash and may not be suitable for everyone. Depending on your risk profile, you may not see the investments on Stash. See our Disclosures.