Find your optimal asset allocation and rebalancing strategy based on age, risk tolerance, and investment goals. See how to realign your portfolio to target weights.
Portfolio & Risk Profile
Current holdings and target allocation
🎯 Target Allocation (must total 100%)
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✓ Totals 100%
📊 Current Portfolio Values
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$
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$
Portfolio Value
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Max Drift
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Total Portfolio
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Largest Drift
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Rebalance Needed?
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Tax Events
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Rebalancing Actions Required
FAQ
What is asset allocation?
Asset allocation is dividing your investment portfolio among different asset classes (stocks, bonds, real estate, cash) based on your risk tolerance, time horizon, and goals. It's the most important investment decision — more impactful than individual stock selection.
What allocation is right for me?
A starting rule: "110 minus age" in stocks. Age 30 → 80% stocks / 20% bonds. Age 50 → 60/40. Adjust for risk tolerance: aggressive investors may hold 90%+ stocks; conservative investors 40-50%. Bonds reduce volatility but also long-term returns.
When should I rebalance?
Rebalance when any asset class drifts more than 5% from its target (threshold method), or at regular intervals (quarterly/annually). Don't rebalance too frequently — transaction costs and taxes eat into returns.
Can I rebalance without selling?
Yes! Direct new contributions to underweight asset classes. This avoids triggering capital gains taxes in taxable accounts. It's the preferred method in accumulation phase, but may take longer to restore target allocation after large market moves.