Summary:

Key Insights:

• Understanding Portfolio Rebalancing: Portfolio rebalancing involves adjusting the weights of assets in your investment portfolio to maintain your desired level of risk and to achieve financial goals.
• Frequency of Rebalancing: Investors should regularly review their portfolio, typically annually or semi-annually, to ensure it aligns with their risk tolerance and investment objectives.
• Methods of Rebalancing: Rebalancing can be done by selling over-performing assets and buying under-performing ones, or by adding new funds to under-weighted asset classes.