The ETF Securities Partner Series joins with Australian and international investment professionals to discuss the big issues of the day and what these mean for investors.
Rebalancing portfolios to strategic or tactical asset allocation weightings is a standard part of portfolio construction but in light of recent market volatility, many investors may be considering whether or not now is the time to rebalance.
Kanish Chugh, Co-Head of Sales at ETF Securities, spoke to Zach Riaz, Investment Manager and Director for Banyan Tree Investment Group, and Chris Brycki, CEO and founder of Stockspot on the topic, To rebalance, or not to rebalance?.
What is rebalancing?
Rebalancing relates to overall strategy and the identified asset allocations the investor or investment manager believes will assist in achieving their strategic goals. As investments gain or lose value, the portion of the portfolio they represent may start to vary, so periodically investors may rebalance back to their determined asset allocations by selling or buying assets.