The Bogleheads' Guide to Investing

by Mel Lindauer

Rebalancing forces us to sell high and buy low. We’re selling the outperforming asset class or segment and buying the underperforming asset class or segment. That’s exactly what smart investors want to do. Although it might be hard for some investors to understand why they shouldn’t simply let their winners run, by doing so, they’d be letting the market dictate the makeup of their portfolio, and thus their risk level.

@kamabokoswirl @pakiki

Tune out the noise and do not get distracted by daily news events. Avoid hot investment fads and following the herd as it stampedes toward the cliff’s edge.

@pakiki @kamabokoswirl