When deciding how often to rebalance your portfolio, you’ll need to consider several factors, including:
I’m serious about that last point, incidentally.
First-time buyers under 35 who are saving a cash deposit for a house might want to haul over to Abbey’s website, pronto.
The bank has a new product called the Abbey 5% ‘Home Saver’ Account that at a glance looks ideal for any saver who qualifies.
It certainly beats the UK government’s approach to helping people into the housing market, which amounts to supporting homeowners who over-stretched themselves (although happily to no great affect so far).
Here are the key details: [continue reading…]
Every week I read a large number of personal finance and investing articles. Here’s my latest shortcut to the best.
Once you’ve committed to rebalancing your portfolio to maintain your chosen asset allocation, you need to decide when you’ll do the deed.
As usual, I’m definitely not going to give you a precise plan on how often you should rebalance. I think there’s no perfect answer, and you need to decide for yourself.
That said, the rest of this post will look at the main approaches to deciding how often you’ll rebalance.
There are arguments made for rebalancing from every period from daily to monthly to once-a-decade.
