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Finance For Dummies

Finance For Dummies offers personal finance information on investing, retirement investing, finance, insurance, credit cards, loans and more. Personal finance education is our goal.

Monday, May 29, 2006

Rebalancing Your Investment Portfolio

At least once a year you need to rebalance your investment portfolio because certain investments might be doing extremely well or bad and it will through off the weights you have allocated to each category (e.g. international, small-cap, large-cap, mid-cap, bonds, etc). By doing this you are forcing yourself to sell high and buy low at the same time keeping your portfolio with the correct weights.


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