How a 60/40 stocks-and-cash portfolio fared in the 2022 inflation and rate shock
60/40 (stocks/cash): 60% equities · 40% cash · quarterly rebalance · physical costs on (coins) · window 2022-01-03 to 2024-01-19 · computed 2026-07-13 with the same engine the app runs.
Solid: this portfolio, real (CPI-deflated) value of $10,000. Dashed: the all-equity baseline.
| Total return (real) | −5.0% |
|---|---|
| Total return (nominal) | +4.2% |
| CAGR (real) | −2.5% |
| Max drawdown (real) | −19.8% |
| Recovery | not recovered in window |
| Purchasing-power ratio | 0.95× |
| Ulcer index | 12.1 |
| Worst calendar year | 2022: −11.4% |
| Physical costs paid | $0 |
| Liquidation value | $10,417 |
A $10,000 stake in a 60/40 stocks-and-cash portfolio (60% equities · 40% cash, rebalanced quarterly, physical costs on coins applied) entering the 2022 inflation and rate shock would have ended the window worth $9,504 in real, CPI-deflated terms: a real return of −5.0%. Along the way it fell at most 19.8% from its peak (not recovered in window), with an ulcer index of 12.1. The same stake in equities alone returned −7.9% real. This allocation beat it by 3.0 percentage points of purchasing power. This allocation carries no physical sleeves, so no ownership costs applied.
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The link above prefills the allocation. Adjust weights, costs, and windows from there. Sources and formulas: methodology.
Educational estimates, not financial advice