Rebalancing, dollar-cost averaging and lump sum
How rebalancing restores your target mix, and a neutral comparison of dollar-cost averaging and lump-sum investing with worked numbers.
Even a well-planned portfolio drifts as prices move. This lesson covers how to bring it back in line, and two ways of putting money in.
Rebalancing means selling some of what has grown and adding to what has shrunk, to return to your target mix. It turns your plan into action and quietly forces you to trim winners and avoid letting one holding take over.
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