A recent Morningstar article underscores the importance of rebalancing portfolios during a bear market. Here are some highlights: During a bear market, a buy-and-hold portfolio will see the equity allocation…
Tag: Portfolio Rebalancing
Why Rebalancing is Important
Those investors who have let the extended bull market drive their equity allocations higher without rebalancing “may be holding riskier portfolios than they initially signed up for,” according to a…
Excess Returns, Episode 7: The Importance of a Sell Strategy and Disciplined Rebalancing Approach
As difficult as it is to figure out the right stocks to buy, determining when to sell can be even more challenging. In this episode, we look at the important…
Rush Hour Traffic and Market Corrections
An article in CFA Institute highlights a “disappointing” statistic from a Gallup survey: “31% of investors would prefer to sit in gridlock than rebalance their portfolios,” and argues that “systematic…
Simple Rebalancing Rules Are Best
An article in The Economist discusses the importance of asset allocation for every investor, citing the benefits of keeping it simple: “There is a better chance of sticking to a…