BacktestPortfolios.com
Backtest any portfolio free - stocks, ETFs, crypto & gold, history back to 1871.

ETF Diversification Finder

Enter a portfolio and we scan ETFs for specific funds that would genuinely diversify it - low correlation, risk-reducing, and consistent across market regimes (not just recent winners) - ranked by how much they improve your risk-adjusted return (Sharpe ratio). A “free lunch” pick adds return and cuts risk at the same time.

State Street SPDR S&P 500 ETF Trust1993-02-28 → 2026-06-30click to change
%
iShares Core U.S. Aggregate Bond ETF2005-03-31 → 2026-06-30click to change
%
Total 100%

Your portfolio today

Sharpe 0.76 · Sortino 1.16 · 10% return · 10.2% volatility
Scanned 351 ETFs over 2016-07-31 → 2026-06-30 (10y).

1 “free lunch” add found - each raises return and lowers risk. Shown first.

GLDSPDR Gold Sharesfree lunch
Add35%
New Sharpe0.9 +0.15
New Sortino1.48 +0.32
Return+0.7%
Risk-0.9%
Correlation0.2
UUPInvesco DB USD Index Bullish Fund ETF
Add40%
New Sharpe0.93 +0.17
New Sortino1.51 +0.35
Return-2.7%
Risk-4.7%
Correlation-0.45

“Add” is the allocation (blended in, scaling your current holdings down proportionally) that maximizes the new Sharpe ratio without raising volatility, capped at 40%. Return / Risk show the change in annualized return and volatility versus your current portfolio, over the common history shown above. Lower correlation means a better diversifier. Results are historical, not a recommendation - see the disclosures.