Rebalancing With Purpose: Keeping Your Portfolio On Track
Client Services
When markets shift, your investment mix can drift away from your original plan. Over time, that can change your level of risk and the long-term results you expect. Strategic rebalancing helps restore your portfolio to its target allocation—keeping your investments aligned with your goals. For many investors in Jackson, Madison, and the surrounding areas, thoughtful portfolio management is the key to maintaining stability through changing markets.
Why Rebalancing Matters
As markets rise and fall, certain investments outperform others. Left unchecked, those shifts can expose your portfolio to more risk than you intended. Rebalancing isn’t about chasing returns—it’s about maintaining balance between growth and protection so your plan stays on course.
When To Rebalance
Most advisors recommend reviewing your portfolio at least once a year, or when allocations deviate by 5% or more from their targets. In Mississippi’s active investment climate, annual reviews often line up with tax season—making it an ideal time to adjust positions, harvest gains, or offset losses.
Rebalancing In Taxable Accounts
For taxable investors in areas like Ridgeland or Flowood, rebalancing requires special attention. Selling appreciated assets can trigger capital gains, so using new contributions or dividends to bring allocations back in line can be more efficient. Your financial advisor in Mississippi
can help you weigh the tax implications and timing for each move.
How To Approach Rebalancing
- Review your portfolio at set intervals
- Adjust using new contributions first
- Monitor for significant allocation drift
- Keep tax efficiency in mind
- Revisit risk tolerance annually
The Value Of Discipline
Emotional decisions often lead to poor timing—selling low or buying high. Rebalancing enforces discipline by following a clear, rules-based process. This approach helps keep your portfolio steady through volatility and aligned with your long-term financial plan.
Ready To Review Your Portfolio?
Branning Wealth Management offers portfolio management
and investment oversight designed to keep you on track through every market cycle. Our advisors in Jackson and across Mississippi can help you fine-tune your strategy with purpose and confidence. Contact us today
to schedule your portfolio review and ensure your investments continue working toward your goals.