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Author Topic: in bad time like this in the stock market, you need to think about rebalancing y  (Read 48 times)

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Offline hmgROCK

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rebalancing your portfolio


let's say you doing

60% stock   and      40% bonds

$10k                              $4k

your stock drop to

50% stock  and  40% bond
$9k                         $4k

you need to take sell some bonds to bring back the stock to 60%

60%  stock and   40% bond

$10k                      $3k


« Last Edit: February 27, 2020, 10:13:22 AM by hmgROCK »

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Offline hmgROCK

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thats how rebalancing work
just a quick version
i just plug random number
you sub your number



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Offline hmgROCK

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you do the opposite if bond price drop
sell your stock to buy bonds
and keep it

60% and 40%

if that how want it



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