What is Core-4 (Ferri)?

Rick Ferri's 4-fund portfolio: 48% US stocks, 24% international, 20% bonds, 8% REITs.

Who created the Core-4 (Ferri) strategy?

Core-4 (Ferri) was developed by Rick Ferri. It is based on Ferri, R. All About Asset Allocation (2010).

What is the historical return and maximum drawdown of Core-4 (Ferri)?

Backtested from 1987-12-31 to 2026-07-03, Core-4 (Ferri) returned 9.3% CAGR with a -48.3% maximum drawdown and a Sharpe ratio of 0.84. Past performance does not guarantee future results.

How often is Core-4 (Ferri) rebalanced?

Core-4 (Ferri) is rebalanced annual. BestFolio publishes the updated allocation signal each period.

Is Core-4 (Ferri) a fixed or tactical strategy?

Core-4 (Ferri) is a fixed-allocation (strategic) portfolio: it holds a set allocation and rebalances on schedule rather than rotating based on market signals.

Core-4 (Ferri) Strategy by Rick Ferri

Name: Core-4 (Ferri), Backtest Time Series
Creator: BestFolio
License: https://creativecommons.org/licenses/by-nc/4.0/

Core-4 (Ferri) at a glance

Core-4 (Ferri) is a fixed-allocation portfolio by Rick Ferri across US Equity, International Equity, US Bonds, REITs, rebalanced annual. Backtested 1987-12-31 to 2026-07-03 (38.5 years): 9.3% CAGR, 0.84 Sharpe, -48.3% max drawdown, 13.3% volatility.

Type: Fixed Allocation
Author: Rick Ferri
Rebalancing: Annual
Risk: Moderate
Period: 1987-12-31 to 2026-07-03
CAGR: 9.3%
Sharpe: 0.84
Max Drawdown: -48.3%
Volatility: 13.3%

Core-4 (Ferri) — Fixed Allocation Portfolio

Rick Ferri's Core-4 portfolio provides broad global diversification with a tilt toward real estate: 48% US stocks (VTI), 24% international stocks (VXUS), 20% US bonds (BND), and 8% REITs (VNQ). With 72% in equities, this is suited for investors with long time horizons.

Core-4 (Ferri): frequently asked questions

What is Core-4 (Ferri)?: Rick Ferri's 4-fund portfolio: 48% US stocks, 24% international, 20% bonds, 8% REITs.
Who created the Core-4 (Ferri) strategy?: Core-4 (Ferri) was developed by Rick Ferri. It is based on Ferri, R. All About Asset Allocation (2010).
What is the historical return and maximum drawdown of Core-4 (Ferri)?: Backtested from 1987-12-31 to 2026-07-03, Core-4 (Ferri) returned 9.3% CAGR with a -48.3% maximum drawdown and a Sharpe ratio of 0.84. Past performance does not guarantee future results.
How often is Core-4 (Ferri) rebalanced?: Core-4 (Ferri) is rebalanced annual. BestFolio publishes the updated allocation signal each period.
Is Core-4 (Ferri) a fixed or tactical strategy?: Core-4 (Ferri) is a fixed-allocation (strategic) portfolio: it holds a set allocation and rebalances on schedule rather than rotating based on market signals.

Backtest Performance (1987-12-31 to 2026-07-03)

Metric	Core-4 (Ferri)
Compound Annual Growth Rate (CAGR)	9.3%
Maximum Drawdown	-48.3%
Sharpe Ratio	0.84
Sortino Ratio	1.07
Annualized Volatility	13.3%
Calmar Ratio	0.19
Total Return	3023.9%
Backtest Period	38.5 years

Strategy Details

Type: Fixed / Strategic
Rebalancing: annual
Risk Level: moderate
Variants: 1
Author: Rick Ferri
Source: Ferri, R. All About Asset Allocation (2010)

Asset Classes

US Equity
International Equity
US Bonds
REITs

Track Core-4 (Ferri) in Your Portfolio

Sign up for BestFolio to get monthly rebalancing signals, blend strategies into custom portfolios, and receive alerts when allocations change.

Create free account View Pricing