IN PLAIN ENGLISH
Single diagnostic score combining concentration, dividend safety, diversification, and sector coverage.
WHY IT HELPS
Converts complex portfolio diagnostics into clear next actions.
HOW IT'S CALCULATED
A 0-100 weighted blend of component scores, each itself scored 0-100: concentration (banded on the largest single company you're exposed to, directly or through funds — above 55% of the portfolio scores 20, under 20% scores 100, less 6 points when the top three exceed 65% or 12 when they exceed 75%; a fund contributes its ten largest holdings confirmed as company shares, merged with any direct holding in the same company, and the rest of the fund, holdings that are themselves funds, and funds with no named holdings count as spread thinly), diversification (55% breadth + 45% balance across sectors, with each fund split by its sector weights and its bonds and cash under Bonds and Cash), sector coverage, dividend safety (each holding that pays a dividend starts at 65 and moves on two figures: payout ratio adds 20 at 55% or less, 12 up to 75%, 3 up to 90%, takes 10 up to 110% and 24 above; dividend cover adds 20 at 2.2x or more, 12 at 1.5x, 2 at 1.1x, takes 10 at 0.8x and 24 below; the result is held between 10 and 100, then averaged across those holdings by value. Dividend cover is worked out as 1 ÷ payout ratio, so the two figures carry the same information and it counts twice. Holdings that pay nothing or have neither figure, including funds, are left out; if none are left the score sits at a neutral 65 and reads 'Limited signal data available'. The figures are the provider's trailing twelve months, refreshed daily but only as new as each company's last results, and the score shows no date for them), income profile, quality and market sensitivity (each holding's beta, banded from 100 at 0.7 or below down to 24 above 1.8 and weighted by value; holdings with no beta, or a beta of 0 or below, are left out). Which components count, and how heavily, depends on your investor persona — a Fortress Builder weights income durability at 34% while a Sprinter weights risk tempo at 32% — so two portfolios with identical holdings can score differently under different personas. The card lists each contributing metric with its own score and weight.
Educational content only. It is not personal financial advice.