Keep the different asset classes within 25% of the target set up in the Strategic Asset Allocation plan. In the little book, "The Investment Answer," rebalancing is the fifth critical decision for investors. In my opinion, rebalancing is one of the minor hints of investing, particularly if new money is coming into the portfolio. Just keep purchasing ETFs that represent the asset class most under target. Again, current readers can see this in operation as the Kenilworth Portfolio develops.
March 22, 2011 by