What if the answer to rebalancing in a falling market to double your rebalancing schedule?
For example, if you rebalance every year, do it every two years. If you rebalance every 6 months, do it every 12 months. Etc.
Raladic wrote:The key word here is tax-deferred (like Traditional IRA) because you pay income tax at withdrawal.
It's still better in a tax-free account (like Roth IRA) which is growth untaxed.
MnD wrote:Here's a link on how to compute your return using Excel xirr
http://whitecoatinvestor.com/how-to-cal ... -function/
cowboyj65 wrote:It is not intuitively evident to me how changing the percentage of my portfolio in a sector that is currently doing well (or not doing well), in order to get back to my AA, is better in the “long term” than just “holding”.