How to Rebalance Your First Portfolio

In Episode 24 of Investing for Beginners, hosts Lucas and Luna tackle a question every new investor faces: when should you rebalance your portfolio and how do you do it without overthinking? Using the classic 60/40 stock-bond split as a starting point, Lucas walks through a concrete example — a hypothetical $10,000 portfolio that drifts to 70/30 after a strong stock market rally. He explains three rebalancing methods: calendar-based, threshold-based, and the 'buy the laggard' approach using new contributions. Luna pushes back on the idea that rebalancing is always necessary, and they explore when it might hurt more than help — especially for young investors with long time horizons. The episode closes with a practical rule of thumb for when to act and when to leave the portfolio alone. Perfect for listeners who have built their first three-ETF portfolio and want to know what comes next. #PortfolioRebalancing #InvestingForBeginners #AssetAllocation #60/40Portfolio #Diversification #BuyTheLaggard #CalendarRebalancing #ThresholdRebalancing #NewInvestorMistakes #StockMarketRally #BondMarket #RiskManagement #Finance #FexingoBusiness #BusinessPodcast #LucasAndLuna #InvestmentStrategy #BeginnerInvesting Keep every episode free: buymeacoffee.com/fexingo