How Does Automatic Rebalancing Work In Investing?
If the same portfolio was automatically rebalanced every three months, performance dropped to a loss of 59.26%. Therefore, it is possible the robo advisor feature of auto-rebalancing will harm you rather than help you in a devastating bear market. ($9,574)At the end of three years, the percentage of stocks in Karen’s portfolio went from 60% to 63.1%. She wasn’t comfortable…