How to follow a model portfolio (step-by-step guide)

Our Rask Core model portfolios are part of our “do it with me” service — designed for investors who want professional research, clear direction, and the confidence to act. These model portfolios are identical to the Rask Invest portfolios.

They’re the result of years of research, bringing together the best mix of growth and defensive asset classes. We choose the ETF or stock that gives us the strongest exposure to what we want — whether it’s passive, active, thematic, or something in between. We’re not tied to one style; we use the right tool for the job.

After talking with hundreds (if not thousands) of investors, we’ve learned the three main reasons people struggle to start and stay invested:

1. Time – they can’t find enough of it to research and manage a portfolio
2. Skill – they’re unsure how to choose and combine investments
3. Will – they lack the interest to dive in but understand investing is important

When one or more of these is missing, confidence fades. That leads to under-investment, delays, and goals slipping further away.

Our model portfolios remove those barriers. We’ve done the research, built the portfolio, and keep it updated. Your job is simply to follow along.

This guide shows you exactly how to do it.

Mirror the target allocation

Each model shows you:

• Which ETFs to buy
• How much of your total to allocate to each one (as a %)
• Cash holding (if any), and
• When it was last updated

To follow the model, simply replicate the allocation in your own account. For example, if the model says:

…and you’re starting with $20,000, you’d invest:

• $7,000 in VAS
• $2,000 in ATEC
• $7,000 in IVV
• $4,000 in IAF

I’m just getting started—can I ease in gradually?

“I’m still building my savings. Should I wait until I’ve got enough to buy everything in the model, or can I just start with one ETF at a time?”

You can absolutely start small and build gradually.

Here’s how to ease in:

• Buy one ETF at a time, ideally starting with the largest allocation in the model.
• Add new ETFs as you save more, following the model weights over time.
• Use your savings plan (e.g. monthly) to slowly bring your portfolio closer to the full model.

For example:

• Month 1: Buy VAS (35% weight)
• Month 2: Buy IVV (35%)
• Month 3: Add IAF (20%)
• Month 4: Add ATEC (10%)

This staggered approach is perfectly fine. The key is to have a plan and stick to it. Over time, your portfolio will closely match the model.

Just remember to be mindful about brokerage costs.

Make smart substitutions (if needed)

Sometimes you may already own similar ETFs. It’s fine to ask: “Do I really need to switch, or can I keep what I have?”

Here’s our general rule:

If the ETF you hold:

• Is in the same asset class (e.g. Aussie shares)
• Has a very similar strategy (e.g. passive, broad index)
• Has low fees and liquidity

…then it’s likely fine to keep it. But if it’s very different to the one in the model (e.g. active vs passive, concentrated vs diversified), we recommend switching.

For example, you hold A200 and we hold VAS, no stress. But if you hold an active managed large cap fund or small cap, it’s not a like for like when compared to VAS.

How to dollar cost average and invest dividends

If you are regularly contributing new cash – the same goes for dividends – look at the static model weights compared to your portfolio weights.

You see, your portfolio will float with the market movements of each holding. Invest new cash to realign your portfolio with the static model without having to sell down holdings.

A basic example:

You have a $10,000 portfolio with the target asset allocation of 40% in VAS and 60% in IVV. Your ideal portfolio would be:

• VAS = $4,000
• IVV = $6,000

After some time your portfolio has drifted:

You add $2,000. Instead of selling any IVV you use the $2,000 to bring up the underweight VAS and add in the static split:

• Find the target dollar amounts based on a $12,000 portfolio:
  • VAS target = 40% x $12,000 = $4,800
  • IVV target = 60% of $12,000 = $7,200
• Therefore, you need to buy:
  • VAS = $1,300
  • IVV = $700

Results after purcahse:

Now you’re back in line with no tax events!

Cash ETFs vs. savings account

“Instead of holding the cash allocation in the portfolio can i just leave it in my savings account?”

Short answer is yes. We highly recommend you maintain track of it though and treat it as part of your investing rather than a savings account you can dip in and out of. If you’re not going to treat it as part of your investing and it’s not there when you need it, you will regret it!

What if you missed an update?

We understand you may miss an update from time to time. We try to flag changes well in advance. But in case you do, here’s how we recommend you get back in sync:

• Check and compare the model to your portfolio
• Use fresh cash – if you can – to nudge things back into line just like the above scenario
• If necessary you will need to rebalance by selling what is overweight and buying what is now underweight

Just remember, you don’t have to be perfect. Perfect can be near impossible with brokerage costs and the inability to buy fractions of a unit.

Final tips

You do not need to make constant changes. The more frequently you check in on things the more likely you are to act and more often than not it is our patience that makes the returns.

More often than not you will not be bang on the models. Percentages are hard to get exactly right so your best effort will do!

Finally, the best portfolio is the one you are comfortable with and will hold for the long term. This all counts for nothing if you are uncomfortable and it leads to you doing the wrong thing at the wrong time. Use these models as a compass.

Finally, we’re here to help so reach out to us via our live sessions and the members section of the Community.