Fixed Income Model Portfolio
Nearly all bonds, designed for stability and preservation.
0–7 years
~5–10%
Very risk-averse investors, those with a large portfolio relative to spending needs, or investors funding specific near-term obligations.
Why This Allocation
The fixed-income portfolio is built around the idea that if you've already accumulated enough, return is no longer the goal — not losing it is. The heavy TIPS allocation directly hedges inflation, the short-term treasuries and cash minimize interest-rate and liquidity risk, and the token equity slice keeps a toe in growth. This is the allocation for someone with 40x annual expenses saved who would rather preserve what they have than risk it for gains they don't need.
Best for
- Investors who have already reached their number
- Funding obligations due within a decade
- Those who want minimal portfolio drama
Things to Consider
- Returns may lag inflation after taxes
- Longevity risk if the portfolio is drawn down for decades
- A small equity slice still helps purchasing power
Related Reading
Model portfolios are educational reference examples of common allocation strategies. They are not personalized investment advice. Your optimal mix depends on your individual age, income, goals, tax situation, and tolerance for risk.
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