When you paste your holdings into the report card, you get a single letter grade and a roast — but under the hood, that grade is the weighted average of five separate checks. None of them care whether your stocks are "good companies." They care about structure: how your money is arranged, and how much of your outcome is riding on any one bet. Here's exactly what each check looks at, so the grade never feels like a black box.
This is the heaviest-weighted check, because it's the fastest way to blow up. Concentration measures how much of your entire portfolio sits in a single company. If one stock is 8% of your money, a bad day there stings. If it's 45%, that one company effectively is your portfolio, and a single earnings miss can erase years of progress.
Importantly, we only count individual stocks here. If you hold 100% of an S&P 500 index fund, that's technically "one holding," but it spreads your money across 500 companies — so it doesn't get penalized. The check is really asking: how exposed are you to the failure of one specific business?
Diversification asks whether you own the market broadly or you're hand-picking a small number of bets. A portfolio built on a broad index fund scores well because it captures hundreds or thousands of companies at once. A portfolio of five individual stocks and nothing else scores lower — not because those stocks are bad, but because you're carrying a lot of company-specific risk you're not being paid extra to take.
We reward having a broad, diversified core and spreading across more than a couple of holdings and sectors. We go deeper on what real diversification looks like here.
This looks at how your money is split across the big buckets: stocks, bonds, cash, crypto, and commodities. There's no single "correct" split — it depends on how aggressive you want to be — which is why the tool lets you pick a style. A conservative profile expects meaningful bonds and very little crypto; an aggressive profile is fine going almost all-in on stocks with little ballast.
Where this check bites is at the extremes: a portfolio that's more than half crypto gets marked down hard, and so does one sitting in a giant pile of idle cash, because both represent a lot of avoidable risk (or a lot of missed growth) relative to any sensible framework.
Even a "diversified" stock portfolio can be secretly lopsided. If you own ten tech companies, you own ten versions of the same bet — when the tech sector sneezes, your whole portfolio catches it. This check measures how much of your stock exposure lives in a single sector and rewards spreading across several. Broad index funds count as diversified across all sectors, so they don't trip this.
This is the sneaky one. Plenty of people think they're diversified because they own several funds — but if you hold three different S&P 500 funds, you own the same 500 companies three times. Or you hold a total-market fund and load up on Apple, Microsoft, and Nvidia individually — the fund already owns huge slices of those, so you're quietly concentrating on the exact names you already own. This check flags redundant funds and that kind of accidental double-down.
Each check produces a 0–100 score. We weight them (concentration counts most, overlap least), average them, and map the result to a letter from A+ down to F. The commentary you see under each category is generated from your actual numbers — "your largest holding is 45%," not a generic tip.