Enter your current holdings and target asset allocation percentages. We'll calculate exactly how much of each asset you need to buy or sell to reach your ideal balance.
| Asset Name / Ticker | Current Value ($) | Target Allocation (%) | Action |
|---|
| Asset | Current Value | Target Value | Action | Amount |
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Portfolio rebalancing is the process of realigning the weightings of your portfolio of assets. Over time, some investments will grow faster than others, shifting your portfolio away from your original target allocation. Rebalancing involves buying or selling assets to get back to your desired risk level.
Rebalancing helps you maintain your desired level of risk. If stocks perform very well, they might grow to become a larger portion of your portfolio than you intended, exposing you to more risk than you are comfortable with. Rebalancing forces you to sell high (the assets that grew) and buy low (the assets that shrunk).
This tool sums the current value of all entered assets to determine your total portfolio value. It then multiplies this total value by your target allocation percentage for each asset to find the target dollar value. Finally, it subtracts your current value from the target value to determine whether you need to buy or sell, and by how much.