KXLY
December 19, 2020 4:45 AM newsfeedback@fool.com (Adam Levy)
Posted:
Updated:
December 21, 2020 3:57 AM
Many investors rebalance their investments at the end of the year or at the start of the new year. Some might rebalance more frequently, like the end of every quarter or even every month.
Rebalancing, no matter how you do it, helps mitigate the volatility of returns in your portfolio. In fact, studies show it makes no difference whether you rebalance annually, quarterly, or monthly. You end up with practically the same returns with minimal impact on volatility.
That said, executing your rebalancing based solely on the calendar is suboptimal. Instead, investors may be better off rebalancing only when their portfolio deviates significantly from their target allocation.
Vienišių Kalėdos Briuselyje, arba „Įsivaikink mane Kalėdoms
diena.lt - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from diena.lt Daily Mail and Mail on Sunday newspapers.
Vienišių Kalėdos Briuselyje, arba „Įsivaikink mane Kalėdoms
kauno.diena.lt - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from kauno.diena.lt Daily Mail and Mail on Sunday newspapers.
Vienišių Kalėdos Briuselyje, arba „Įsivaikink mane Kalėdoms
klaipeda.diena.lt - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from klaipeda.diena.lt Daily Mail and Mail on Sunday newspapers.
Vienišių Kalėdos Briuselyje, arba „Įsivaikink mane Kalėdoms
kauno.diena.lt - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from kauno.diena.lt Daily Mail and Mail on Sunday newspapers.