Episode 8 - The Magic Of Rebalancing

Rebalancing is a magical tool, and a critical part of managing your portfolio. As we talked about in Episode 1, investing is not a one-time event, but rather a series of repeated similar bets. Regular rebalancing is a tool used by investment professionals to manage risk, and is proven to help you generate higher returns over time. Using realistic numbers and even some personal examples, we shed some light on the concepts of rebalancing your portfolio. Rebalancing effectively forces you to take money off at the highs and feed it back in at the lows. In summary, the key points covered in this episode are: - What is rebalancing? - Why do the professionals rebalance? - Forcing yourself to take money off at the highs… and feed it back in at the lows - How rebalancing manages your risk more effectively - THIS is why rebalancing improves your returns. Thanks for listening! Download a free chapter from our book’ Low Rates, High Returns’ https://www.lowrateshighreturns.com/podcast Pete Wargent https://www.petewargent.com/ https://www.linkedin.com/in/pete-wargent-37228322/ Stephen Moriarty https://twitter.com/SGM63