If you hold a 50% SPY – 50% TLT portfolio, you might expect a Sharpe ratio of 0.3-0.4 over time. A bit better than holding 100% of either. Recently this Sharpe ratio hit 5 using an annualized rolling 150-day approach. If you’re waiting for bluer skies ahead for your portfolio, well, you just had one of the bluest skies in recent memory. This type of performance doesn’t happen often.