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Money Crashers
Rebalancing Your Portfolio Once a Year Keeps Your Risk in Check
As markets move, your asset allocation drifts. A portfolio that started 80% stocks and 20% bonds can become 90/10 after a bull run. Rebalancing means selling what’s grown and buying what’s lagged to return to your target. Do it annually, not reactively, and your portfolio stays matched to your actual risk tolerance.
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