Hi Folks,
we have a 40-60 asset allocation target with a 10% rebalance band. Despite some rebalancing this year, our asset allocation has drifted to 55-45. Our (fee only) financial advisor has suggested instead of continuing to rebalance, we may want to start thinking about our portfolio in terms of investing for our heirs which would entail a more aggressive asset allocation than 40-60, maybe 60-40.
this makes sense to us but I'm wondering if there are any rules of thumb around when to start thinking about our portfolio in these terms? Obviously, one has to be confident that their portfolio won't be exhausted before they die and won't make behavioral errors given the new aa.
Is that it?
best,
we have a 40-60 asset allocation target with a 10% rebalance band. Despite some rebalancing this year, our asset allocation has drifted to 55-45. Our (fee only) financial advisor has suggested instead of continuing to rebalance, we may want to start thinking about our portfolio in terms of investing for our heirs which would entail a more aggressive asset allocation than 40-60, maybe 60-40.
this makes sense to us but I'm wondering if there are any rules of thumb around when to start thinking about our portfolio in these terms? Obviously, one has to be confident that their portfolio won't be exhausted before they die and won't make behavioral errors given the new aa.
Is that it?
best,
Statistics: Posted by gips — Sat Sep 21, 2024 12:55 pm — Replies 7 — Views 309