Anyone rebalancing?

[Gone Fishing]

If not, what's your trigger?  Once a year (or other period)?  Allocations off by a certain %?

[JustGettingStarted1980]

I set firm rebalancing goals of twice a year on Jan 1st and July 1st

Don't really have a good reason why this is ideal, I just want to keep from checking my balances too often and doing "panic" changes. If I'm off by 5%, I make changes.

I guess, it's worked for me so far, but I'm alot farther from FIRE than you are (which explains the difference in our names).

JGS

[EscapeVelocity2020]

Not yet, but will start to do so if my allocation drifts more than 10% (mainly due to equity losses).  I try to keep cash / bonds allocation around 20% (I'm 42), but I'm also still contributing to my 401k and IRAs (which are predominantly equities since the time horizon is long).  I get a cash bonus in March, so that could trigger buying more equities via DCA into my after tax equity accounts (add to dividend stocks and other diversification like REIT and international funds).  If I get laid off, I'll have a severance to help bring cash and bond allocation to my FIRE target of 30%.  Otherwise I'll switch to 30% bond allocation at age 50 (so I might let it drift up anyways).

Sorry this doesn't seem very informative, now that I've written it out, but it was a nice reminder to have a look at my net worth spreadsheet and update all of my balances.  I've lost about 4% since the beginning of the year, so AA hasn't changed much.

[Hotstreak]

I rebalanced a few weeks ago when I got my 401k match, and I'll do it again in July.

[zephyr911]

I'm pulling from TSP to buy an oversold renewable yieldco, but I don't recommend it... lol

(TSP and IRAs are sidenotes in my FIRE plan so I do things most of us/you wouldn't)

[zephyr911]

Oh, and putting about $11K into rental real estate too. Is that considered rebalancing?

[Monkey Uncle]

I'm still accumulating, so I do my rebalancing by adding funds in under-represented categories.  I'm not too anal about it; just trying to stay reasonably close to my target allocation..

[GrowingTheGreen]

Like a PP mentioned, I just rebalance on set dates. Would it make more sense to do this if my portfolio becomes out of balance by a certain number of points? Probably. Do I like to obsess over rebalancing? Not really. I prefer to focus on low fees and consistent investing (dollar cost averaging).

[PharmaStache]

I rebalance by cash flow, since this is still easily achieved due to the small-ish amount I have saved so far.

[seattlecyclone]

I have a spreadsheet that tracks my portfolio by asset class. As long as everything is between 95%-105% of my target amount for that asset class, I take no action. If something's off by 5-10%, I'll adjust future contributions to try and fix it. If it's off by more than 10%, I'll exchange funds. I don't have a set schedule for checking it, but I tend to do so at least monthly.

[Cougar]

 I generally rebalance november 1st, increasing equity exposure and may 1st reducing equity and in creasing bond exposure to follow the historical trends. I did not do that this November because economic indicators showed the economy weakening, but supposedly I'm a market timer; so I shouldn't be listened to.

fine by me, I estimate my timing saved me from losing over 50k so far this year.

[zephyr911]

 I generally rebalance november 1st, increasing equity exposure and may 1st reducing equity and in creasing bond exposure to follow the historical trends. I did not do that this November because economic indicators showed the economy weakening, but supposedly I'm a market timer; so I shouldn't be listened to.

fine by me, I estimate my timing saved me from losing over 50k so far this year.

I was playing blackjack, hit on 18 and got a 3. Am I onto a new strategy as a successful contrarian, or....?

[GuitarStv]

I usually rebalance a couple times a year.  Once near the start of the year, and once in the summer.  It used to be a lot easier, I just added money to make up the difference . . .

[ZiziPB]

Yes, I have done it so far once a year at the same time I invest my bonus and proceeds from sale of vested RSUs.  Since I have a chunk of cash to invest at that time, I take the opportunity to make new purchases and adjust existing holdings to make sure that my portfolio stays balanced.

[Gone Fishing]

 I generally rebalance november 1st, increasing equity exposure and may 1st reducing equity and in creasing bond exposure to follow the historical trends. I did not do that this November because economic indicators showed the economy weakening, but supposedly I'm a market timer; so I shouldn't be listened to.

fine by me, I estimate my timing saved me from losing over 50k so far this year.

Not to turn this thread into the other, but when do you plan on reallocating towards stocks?

[onlykelsey]

I am falling in to a semi annual pattern. Really only now developing an investment program but in January I set my contributions to the 401K and started 2K/month taxable investments.  When I max my 401K in June, I guess I'll do it again.   I'm in accumulation phase, never selling, just buying more or less of something.