I don’t ever remember a period in which the difference in performance between “safe” fixed income investments and “riskier” investments has been so dramatic as over the past month. It’s particularly accute if your risk assets include commodities, which continue on their way to the moon.
I’ve always thought quarterly rebalancing more than adequate. And, because I can “tilt” my annual distributions one way or another, rebalancing has in the past mostly happened automatically. I’ve read that once a year is enough.. Yet, some pretty wide divergences can now develop in a few days. (The fact I even need to ask this question has me wondering about relative valuations.)
Do you rebalance on some sort of predetermined time schedule? Or do you wait until your investment categories (ie growth, fixed income, alternatives) deviate from one another by a certain amount? Or … perhaps you never rebalance?