5 Portfolio Rebalancing Strategies: Maintain Diversification Over Time
Quarterly Checks Maintain Long-Term Growth
Rebalancing isn’t about chasing the next hot stock; it’s about staying disciplined and focused on long-term growth.
Focusing on consistent, strategic checks is the one strategy I use to rebalance my portfolio rather than trying to time the market. I typically rebalance my portfolio quarterly to ensure that my allocations are staying in line with the risk profiles and financial goals of my clients. This is especially important as markets can move in unpredictable ways, and certain sectors or asset classes can end up weighing too heavily in the portfolio. By setting preset thresholds for when asset classes exceed certain weightings, I can make adjustments before things get out of hand.
Instead of large, sudden moves, I much prefer gradual rebalancing, where I shift smaller percentages over time. Through this approach, I get to manage market ups and downs and avoid making decisions based on short-term market noise. It’s about being steady while staying diversified across equities, bonds, and alternative assets. By rebalancing so often, I ensure that my portfolio not only stays in line with my goals but also takes advantage of market movements without caving in to market fear or greed.
Ultimately, rebalancing is all about staying aligned with your financial plan, making incremental changes, and being disciplined enough to stick with it through market highs and lows. It’s not as much about how you react, but more about being prepared and letting diversification do its thing over time.
Harold Wenger Jr.
Partner | Wealth Manager
Investment advisory services offered through Kingsview Wealth Management, LLC (“KWM”), an SEC Registered Investment Adviser. Insurance products and services are offered and sold through Kingsview Trust and Insurance Services (“KTI”), by individually licensed and appointed insurance agents. KWM and KTI are subsidiaries of Kingsview Partners. KWM is an investment adviser registered with the Securities and Exchange Commission (“SEC”). Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed.
