Your Folio is automatically rebalanced quarterly, maintaining alignment with your chosen strategy without manual intervention. This hands-off approach ensures your investments stay on track, providing peace of mind.
Why Should I Rebalance My Folio?
Rebalancing is the practice of shifting, or reallocating, a portfolio’s investments in an effort to maintain an appropriate blend of stocks that aligns with your long-term strategy. Studies have shown that, over the long-term, a portfolio that was never rebalanced had 16% more annualized volatility and no additional return benefits, than a rebalanced portfolio.*
* Fidelity, "How rebalancing can help reduce volatility in your portfolio", 3.
When Are Folios Rebalanced?
We mirror institutional best practice by rebalancing all Folios simultaneously on the last trading day of March, June, September, and December. This ensures that rebalancing always occurs on an active trading day.
For a list of upcoming rebalance dates and to view historical dates used in our Folio back-tests, read more.
Can I Modify a Folio After Creating It?
Yes, users have two options to update their Folio. First, they can modify their stock selection or weighting strategy and schedule these changes for the next upcoming rebalance. Alternatively, they can manually implement these changes to take effect in the current/nearest trading session.
This content is for informational purposes only. OPTO Markets LLC does not recommend any specific securities or investment strategies. Investing involves risk & investments may lose value, including the loss of principal. Past performance does not guarantee future results. Investors should consider their investment objectives and risks carefully before investing.
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