facebookRe-balancing portfolio - should I top up what's not enough as compared to selling winner and buying loser? - Seedly

Anonymous

08 Jun 2021

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General Investing

Re-balancing portfolio - should I top up what's not enough as compared to selling winner and buying loser?

Most articles have said to sell the 'winners' and buy the 'losers' to get to the desired allocation. However instead of selling, I could also top up which ever asset that is falling behind. Is there any difference in the two? Wouldn't selling and buying incur more trading fees than just topping up the 'losers'?

Discussion (1)

What are your thoughts?

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Versus let the winners run (my strategy), I never rebalanced,

though many recommend to, because of total portfolio risk

stabilization.

however particularly the 'winners' could be also 'winners' in the future.​​​

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